How can commodity options reduce its losses?
When you see that the profit of the account is declining and the fluctuation of the target is not developing in your favor, take the contract held by "one-click liquidation" to stop the profit and stop the loss, so as to ensure that the overall capital cost is within the cost line. Stop and calm down before entering the market. Commodity options is not a leveraged transaction. Because when buying commodity options, investors only need to pay a certain royalty, not all the funds. Even if the commodity price fluctuates, investors will only lose the royalties paid, and will not lose all the funds like leveraged trading. Moreover, investors can also choose not to exercise options, thus avoiding losses.
How can commodity options play to make money?
First of all, you should know the trading rules of options and how they are traded. Never day trading, which will cause trading fatigue and affect your judgment. Day trading is definitely a waste of money. Then you have to have a good attitude and determination. It is wrong to choose option contracts blindly. If you want to make money in option investment, you can accumulate experience with small funds first, and choosing the right option product is more conducive to your own income. In order to reduce the risk, everyone should try to combine when making investment plans, and the funds can be dispersed in different products to realize the most effective and steady appreciation of wealth.
Source Baidu: Caishun Option ~
How to clinch a deal in commodity options?
Selling put options is a strategy with limited returns but great risks. When the price of the subject matter rises or is basically flat, royalties can be earned steadily; If the price of the subject matter falls, the loss will begin to offset the royalties received, and when the price falls below the equilibrium point, the option seller will begin to have a net loss. In addition to fundamental analysis, investors can also use technical indicators for trend analysis. For the novice who just entered the market, you can master the most basic K-line chart first, and then slowly learn other indicators. However, the technical indicators are not good enough, so you can master a few commonly used ones.