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Binary options : strategies for directional and volatility trading /

The first comprehensive guide to trading a unique class of options to manage risk and make smarter bets during volatile trading Providing savvy market players with a way to react quickly to event-driven opportunities and trends, exchange traded binary options are a unique type of derivative instrume...

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Detalles Bibliográficos
Clasificación:Libro Electrónico
Autor principal: Nekritin, Alex, 1980-
Formato: Electrónico eBook
Idioma:Inglés
Publicado: Hoboken, N.J. : John Wiley & Sons, Inc., ©2013.
Temas:
Acceso en línea:Texto completo
Texto completo
Tabla de Contenidos:
  • pt. 1. Introduction to binary options
  • pt. 2. Binary options theory
  • pt. 3. Trading binary options
  • pt. 4. Binary options trading strategies
  • pt. 5. Creating your binary options strategy
  • pt. 6. Managing your binary options account
  • pt. 7. Profiling with volatility.
  • PART I, Introduction to binary options. 1, What are binary options? On what asset classes are binary options available?
  • Binary options vs. CBOE (vanilla) put/call options
  • Advantages/disadvantages of binary options
  • Reasons to trade binary options
  • PART II, Binary options theory. 2, What does binary mean? Components to a binary option
  • Long trading
  • Short trading
  • 3, Pricing. Strike price
  • Time value
  • Price as a natural market consensus
  • Reading a binary option chain
  • PART III, Trading binary options. 4, Binary options contract collateral, margin and debit risk of vanilla options and futures. collateral explained
  • Binary options expiration values
  • Collateralizing a long trade
  • Collateralizing a short binary options trade
  • The mechanics of a binary options short trade
  • 5, Settlement. Settlement on binary option long trades
  • Commissions and fees
  • 6, Entering and exiting binary option trades. Reading quotes
  • Reading an order ticket
  • Exiting trades
  • Exiting your trade before expiration
  • 7, Keys to trading binary options and more examples. Gold binary examples
  • Copper binary examples
  • PART IV, Binary options trading strategies. 8, Volatility trading explained. Taking a volatility long position (buying volatility). Regulating success probability and payout with strike prices
  • Taking a volatility short position (selling volatility)
  • Regulating range and payout with strike prices
  • Max loss, collateral, and max profit summary table
  • Binary option behavior as expiration approaches
  • Understanding Delta
  • Delta and price
  • 10, Technical trading strategies with binary options. Support and resistance
  • Breakout trading
  • 11, Fundamental trading strategies with binary options. News releases
  • Political events
  • Speculating on actual news releases
  • Economic data releases that you can speculate on
  • PART V, Creating your binary options strategy. Systems with binary options
  • Finding your edge
  • Proper trading system development
  • Back-testing binary options strategies
  • Three back-testing rules
  • 13, Negative emotions
  • Greed and fear
  • How to handle negative emotions
  • Find the right system for you
  • Practical steps to mitigate the negative emotions
  • 14, Risk management. The process
  • determining position size
  • Risk management on option spreads
  • Relationship between position size and trading psychology
  • Handling unexpected market volatility
  • Benefits of binary options on trading psychology
  • Discipline of expiration
  • PART VI, Managing your binary options account. 15, Proactive system improvement. System cutoffs
  • Drawdown
  • - Consecutive losing trades
  • - Reinvestment rate
  • Diversification and account distribution
  • Intersystem diversification
  • Account breakdown
  • PART VII, Profiting with volatility. 16, The volatility short trading rules. Premium collection
  • Rule 1 : Cut off your losing trades
  • Rule 2 : Collect enough premium
  • Rule 3 : Sell far enough away from market price
  • Rule 4 : Use underlying instruments that revert to the mean
  • Rule 5 : Sell options with proper duration until expiration
  • Rule 6 : Perform additional analysis in order to get a feel for market direction
  • Rule 7 : Attempt to make your market
  • Conclusion
  • Glossary-- Index.