HFA Icon

3 Pitfalls Of Options Trading

HFA Padded
Guest Post
Published on
Updated on
Sign up for our E-mail List and Get FREE Access to Exclusive Investment E-books and More!

3 Pitfalls Of Options Trading by by Alex Barrow, Macro-Ops

Let’s discuss the downsides to options no one ever mentions.

The reason no one talks about these pitfalls is that it’s against the system’s best interest. The system wants retail traders churning their accounts at brokerages with tons of options trades. The more trades the better.

Brokers earn fat commission fees and their affiliates that market for them get a nice cut too. Market making firms make a killing from the large retail order flow. And programs like CNBC can garner audience engagement by fascinating the public with their “sophisticated” options trades.

But understanding these pitfalls are key to ensure your success in the options market.

Options Trading + Pitfall #1: False...

Login required to continue reading.

Setup a free account to get access to this article (no credit card required).

View Full Article
Already a member? Log in here

HFA Padded

If you are interested in contributing to Hedge Fund Alpha on a regular or one time basis read this post