Best Books for Options Trading: Options trading is something you might want to try to add up to your business portfolio with an alternative investment strategy. Trading options enable you to prevent the investment of underlying security while investing in buying contracts to buy or sell specific security to your business portfolio.
Trading options can be very tricky and require a good amount of knowledge; otherwise, it can be very risky. If you are a new investor and do not have adequate knowledge about options trading or how it works in the market, you will have to go through some books. From learning basics to advanced techniques, enrich yourself with as much knowledge as possible to benefit from options trading.
Best Books for Options Trading
We have listed five books below that have enough strategic information regarding options trading and how to benefit from it;
1- Options as a Strategic Investment by Lawrence McMillan
This book is the fifth updated edition of the ”Options as a Strategic Investment, a complete guide with practical strategies for options traders that help them manage their investments. The practical strategies and market-tested tools mentioned in this book enable you to reduce the risk of the downside of your portfolio and maximize profits and earning potentials. Along with the detailed description of trading options in the future, index options, and measuring the market’s volatility, this book also explains the tax laws that apply to this trading and investment. The book also includes some proven strategies and techniques of options trading.
2- Options Trading Crash Course
If you are a beginner looking for the most understandable and accessible guidebook on options trading, this crash course is one of the best options to consider. This is a concise book with a simple step-to-step guide on the options trading and market and will teach you from scratch. With this crash course, you will be having enough information on evaluating your investment choices and making an income through options trading. Along with understanding the basic principles, this book will provide you with practical strategies that have 100% proven to work from the start until now.
3- Option Volatility and Pricing by Sheldon Natenberg
This book has detailed explanations on various subjects of options trading. Theoretical options pricing models, effective trading strategies, and historic profitability under various conditions experienced by the market are major subjects of this book. ”Option volatility and pricing” is the book that convinces us that options pricing enables the traders to evaluate distinctive values that support the options trading market. Along with options pricing and volatility, this book also provides a clear explanation of trading options, risk management, and the relationship of options to their underlying assets. This book is widely recognized in the options industry and is an excellent guide for professionals.
4- Fundamentals of Futures and Options Markets by John Hull
This book provides the best and clear understanding of futures as well as options trading markets. Moreover, it is referred to as the companion of another book written by John Hull, named ”Options, Futures, and Other Derivatives”. All the traders who trade with the futures market have well-established concepts of options trading as well. This book provides adequate information on strategies to evaluate the time value of options, trading interest rate futures, and information on swaps and other derivatives.
5- The Option Trader’s Trader’s Hedge Fund by Dennis Chen and Mark Sebastian
Written by two experts, this book provides practical and reliable trading options that help you manage your trades and enable you to run an honest business through your portfolio. This book is a complete guide to earn from the options portfolio consistently. Moreover, it is a step-by-step guide built in a way that will help you enhance your income through writing and selling options in no time. Therefore, this book offers a complete business model.
Best Books for Options Trading Conclusion
Whether you are a beginner or a professional, there is never enough information to provide you with adequate strategies for options trading. Therefore, to keep your knowledge and strategies updated, you will have to read influential books that will help you maintain and enhance your portfolio in the market.
Best Books for Options Trading
- Options as a Strategic Investment
- Options Trading Crash Course
- Option Volatility and Pricing
- Fundamentals of Futures and Options Markets
- The Option Trader’s Trader’s Hedge Fund
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