I have to admit that I’m very uneducated in the world of trading, but this book was a great introduction to the terminology, strategies and risks/benefits involved in options trading.
My biggest takeaway is that no one can predict the future, we can’t know (as Matthew McConaughey famously said), if a stock is going to go up, down, sideways or in circles, however some strategies are known to have better performance than others.
My other takeaway is that in order to make decisions, options trading provides an array of indicators that can help you make more informed decisions, in the end, it will depend on your risk tolerance and the amount of time you’re willing to spend on it.
Excerpt
Compared to long premium strategies, short premium strategies yield more consistent profits and have the long‐term statistical advantage”
