Why is option movement the best strategy to speculate on options?
At 1st Stock options refer to the buyer's right to buy or sell a certain amount of related stocks at the agreed price on or before the expiry date specified in the contract after the payment of the premium. It is one of many ways to motivate employees and belongs to the category of long-term incentives. Stock options are the right of a listed company to give senior managers and technical backbones the right to purchase common shares of the company at a pre-agreed price within a certain period of time.
1. Now let's see what is an option transaction?
To put it bluntly, it is the anomaly of options. Options are different from stocks, so all transactions will be announced and displayed on the option chain, not like stocks. We capture these anomalies by observing the option chain, so as to provide a reference for our trading. These abnormal situations include: 1. Large purchases of funds. For example, if the trading volume of options on a stock is usually tens or hundreds of orders, suddenly one day someone or an organization buys 5000 orders somewhere in the world, then this is a change. 2. Continuously buy an option. There is a stock option that is constantly being bought by someone or an organization somewhere in the world, which is also a kind of change.
2. How does the change occur?
Option changes are generally caused by institutions buying and selling, so how is the institution different from ours? Organizations have information that we don't have access to, and there are usually some news that must be known to the organization first. Organizations have technologies that we don’t have, artificial intelligence, machine learning, organizations will spend a lot of money in various technologies that can help them make money, and organizations have a variety of manpower, and some people specialize in various graphics. Such fundamentals and so on. In the end, institutions have sufficient financial power to buy, and their buying and selling will cause stocks to rise and fall. So no matter whether we are speculating in stocks or options, we should follow the agency.
3. Why is option movement the best strategy to speculate on options?
Because these option transactions are all bought by institutions, they have enough information, sufficient research, advanced technology and strong funds, so you will never suffer a loss if you follow them to buy. Of course, option transactions are not 100% effective, then I need another strategy to bless it, and I will share it with you in a future series. Let's take a look at what the change looks like.
1. Quotes ➡️ Markets ➡️ US ➡️ Options
1. Now let's see what is an option transaction?
To put it bluntly, it is the anomaly of options. Options are different from stocks, so all transactions will be announced and displayed on the option chain, not like stocks. We capture these anomalies by observing the option chain, so as to provide a reference for our trading. These abnormal situations include: 1. Large purchases of funds. For example, if the trading volume of options on a stock is usually tens or hundreds of orders, suddenly one day someone or an organization buys 5000 orders somewhere in the world, then this is a change. 2. Continuously buy an option. There is a stock option that is constantly being bought by someone or an organization somewhere in the world, which is also a kind of change.
2. How does the change occur?
Option changes are generally caused by institutions buying and selling, so how is the institution different from ours? Organizations have information that we don't have access to, and there are usually some news that must be known to the organization first. Organizations have technologies that we don’t have, artificial intelligence, machine learning, organizations will spend a lot of money in various technologies that can help them make money, and organizations have a variety of manpower, and some people specialize in various graphics. Such fundamentals and so on. In the end, institutions have sufficient financial power to buy, and their buying and selling will cause stocks to rise and fall. So no matter whether we are speculating in stocks or options, we should follow the agency.
3. Why is option movement the best strategy to speculate on options?
Because these option transactions are all bought by institutions, they have enough information, sufficient research, advanced technology and strong funds, so you will never suffer a loss if you follow them to buy. Of course, option transactions are not 100% effective, then I need another strategy to bless it, and I will share it with you in a future series. Let's take a look at what the change looks like.
1. Quotes ➡️ Markets ➡️ US ➡️ Options
2. You selected of a Stock ➡️ Options tab ➡️ Unusual Activity
*Clueless about trading? Here are some basics you need to know before you get started.
@moomoo Academy here’s a quick rundown on online trading.
As much as we want to make our🤑 money 🤑 work for us, one should never dive into uncharted waters or approach trading like a game.
@moomoo Academy here’s a quick rundown on online trading.
As much as we want to make our🤑 money 🤑 work for us, one should never dive into uncharted waters or approach trading like a game.
If you aren’t Chow Yun-Fa from the God of Gambler series, rolling the dice willy-nilly might not be the way to go.
Making consistent gains from trading actually requires quite a fair bit of research work.
Making consistent gains from trading actually requires quite a fair bit of research work.
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
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visions88 : Good intro. Wld b great to elaborate in details.
Tqvm!
Jamesim OP visions88 : You are welcome. Hope you like it.
ecommerceshares : Nice
Ramzzi : Thank you for your useful and valuable explanation. Being an organization that in the past did not work very far and worked hard, but because they did things outside the United States, their work was wasted and now they do not have the spirit to work again, how can this issue be solved?
Orlagh : nice gains
Mikebierer : sexy gains
carririlin : nice
Tammyy : appreciate your share
Enlly : Thanks for sharing ~
Cully : excellent sharing
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