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V.17:11 (476-479): Getting Started With Options Using Protected Positions by J. Demkovich and E. Theriot

V.17:11 (476-479): Getting Started With Options Using Protected Positions by J. Demkovich and E. Theriot

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Getting Started With Options Using Protected Positions by J. Demkovich and E. Theriot

If youre bullish or bearish, you dont need to expose yourself to the full risk of the underlying stock. Instead, take a protected position using option spreads.

Last month we described how to get past all the complexity facing a novice options user. This month, well show you two other option uses that are applicable when you have a definite outlook on the direction of a stock. The first is to buy a call and the second is a more conservative method referred to as a spread.
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