2min chapter

The Trade Busters cover image

82 - Guest Appearance - The Wall Street Coach

The Trade Busters

CHAPTER

The Differences Between Options and Equity Trading

With equity trading, it's very binary in the sense of if you buy stock, it has to go up for it to make money. You lose money that goes up with options is very multi dimensional. They're called non linear products. So they derive the price from some underlying could be the equity that you normally trade. And so there's a lot of complexity and nuance, but it allows you to take advantage of lots of different situations.

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