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OPTIONS "trading in currency
options has exploded"
Volatility/movement is what
gives options the ability for "unlimited" profit
potential, as is stated above, profit potential, is a principal
attraction of options as an investment vehicle.
The greater the price movement, provided it's in
the direction you anticipated, and provided it occurs during the
life of the option, the larger the profits.
An option gives the buyer the right – but not
the obligation – to buy or sell a set amount of an underlying
Currency at an agreed rate on or before an agreed
date.
FInd out why the Bank of
International Settlements said that trading in currency
options has exploded. Founded in 1930, the Bank for
International Settlements a bank for central banks to learn more
about central banks, is the oldest global financial
institution.
This trend, has led to an
81 per cent jump in daily turnover of currency options in the last
three years according to the latest survey from the Bank of
International Settlements . REQUEST
FORM
The primary reason that people lose money
trading options is that they follow “limited upside, unlimited
downside” strategies of a chance make 10%, and if it
works out great. If it doesn’t work out right, you could lose all
your money.
Think about it. Now why would anybody invest in such a strategy?
We have no idea. But we really think that’s the way most people
trade options. They just don’t realize what they’re doing.
One famous Option trader
racked up a nominal rate of return of 70.7% without a losing year
between 1978 and 1989. With his astounding track record,listen to
what he has to
say:
"Options are, many say, the riskiest game in town.Certainly they
are by far the most challenging, flexible,
and potentially profitable financial instruments
available."
How
large
is
my Profit and Risk potential
when
I buy an option?
There
is no upper limit on the opportunity for profit. (The risk in
the purchase of options is the amount of your investment plus
associated fees). The greater the price movement provided it's in
the direction you anticipated and provided it occurs during the life
of the option, the larger the profits. It is the combination of
limited risk and unlimited opportunity that is a principal
attraction of options as an investment vehicle.
Risk
If You Purchase A Forex Option, You
May Sustain A Total Loss Of The Premium (cost) and all
Transaction Costs. You can not lose more than original
cost/investment. Example being if your PREMIUM (cost) and
all transaction costs is $2,000 and the value increases to $2,100
your risk is limited to the original
$2,000. There are no guarantees of profit or
freedom from loss in Foreign Exchange Trading.
To receive information
and or get started,fill out our
form and speak
directly with a Trader , REQUEST
FORM
Managed
Forex Option Account
Why
OPTIONS, "trading in currency options has
exploded"
There
is no upper limit on the opportunity for profit. It is the
combination of limited risk and "unlimited"
opportunity that is a principal attraction of options as an
investment vehicle (Every investment has a risk and with this
account in the purchase of options is the amount of your investment
plus associated fees).
The
greater the price movement, provided it's in the direction you
anticipated, and provided it occurs during the life of the option,
the larger the profits.An option gives the buyer the right – but not
the obligation – to buy or sell a set amount of an underlying
Currency at an agreed rate on or before
an agreed date. To
receive information and or get started
,fill
out our form and
speak directly with a Trader, REQUEST FORM
Large swings in
Currencies
EURO moved
approx. 9 cents in one month 2/11/ to 3/11 shown on right
Just
Recently, August though September, the EURO has moved more
than 11 cents.
August
30 though September 10 about 7 cents September
10 through the 14th about 5 cents
Volatility,
Big Moves and Options
Volatility/movement
is what gives options the ability for "unlimited" profit
potential, as is stated above, profit
potential, is a principal attraction of options as an
investment vehicle.
To receive information and or get started
,fill out our form and speak directly with a Trader , REQUEST FORM
Remember
,the greater the price movement, provided it's in the direction you
anticipated, and provided it occurs during the life of the option,
the larger the profits.
As
stated risk does exist,
and of course can not be eliminated, but We do use certain
strategies to try and compensate for and or mitigate risk by
utilizing several factors,
and feel
money management along with capital preservation
are keys to being successful.
More
on Risk
Let
us mention Risk again, If You Purchase A Forex Option, You May
Sustain A Total Loss Of The Premium (cost) and all
Transaction Costs. You can not lose more than original
cost/investment. Example being if your PREMIUM (cost) and
all transaction costs is $2,000 and the value increases to $2,100
your risk is limited to the original $2,000. There are no
guarantees of profit or freedom from loss in Foreign Exchange
Trading. To receive information and or get started ,kindly
fill out our REQUEST
FORM
IF YOU PURCHASE A FOREX OPTION, YOU MAY
SUSTAIN A TOTAL LOSS OF THE PREMIUM AND OF ALL TRANSACTION
COSTS. There are
no guarantees of profit or freedom from loss in Foreign Exchange
Trading.
Purchasers and
sellers of foreign exchange options contracts should familiarize
themselves with the type of option (i.e. put or call) which they
contemplate trading and the associated risks. Trader should
calculate the extent to which the value of the options must increase
for their positions to become profitable, taking into account the
premium, commission and all transaction costs. The purchaser of
foreign exchange options contracts may offset, or exercise the
options, or allow the options to expire. If the option is on a
spot foreign currency contract, the purchaser will acquire a
currency position with associated liabilities for margin (see the
currency spot market section above). If the purchased options expire
worthless, the Trader will suffer a total loss of Trader’s
investment, which will consist of the option premium plus commission
and transaction costs. If the Trader is contemplating purchasing
deep-out-of-the-money options, Trader should be aware that the
chance of such options becoming profitable ordinarily is remote.
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