The FREE Investment Newsletter That Really Works!
Hey everyone, today's free newsletter is up and today we're talking about Naked Positions. What's that you ask? It's when you sell a put option, for income. However there's risks involved. If you remember, when you buy a call option or a put option you are buying the "right" but not the obligation to buy a particular stock at a particular price. But, when you SELL an option you are now entering a legally binding obligation to do something if your trade goes against you. that costs money.
So we discuss how they work, how they can be very useful and how to avoid the risks as best as possible. Then of course we talk about the current market, and mention some things we did when the market fell 300+ points Tuesday. Give it a read, it's decent stuff!