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Why Trevor Trades Futures Options, Binary Options

Updated: Nov 7, 2019

When it comes to risky futures contracts, I learned when I earned my Series 3 Registration that traders can lose more than they put into a futures trade. Options are now a smaller-scale way to define risks in advance of a commodity futures trade, although one can risk more than profit amounts available, the "black swan" margin event almost does not ever become reality. Binary options are similar to futures option spreads in this respect but also are even smaller amounts of money per contract traded, as in $50.00 or $80.00 trades. Thus, a trader with losses can pick themselves up off the floor and move on after a losing trade or streeak or re-tool their trading strategies in their learning processes. This is my rationale for studying these products, and it is to protect the public that I write about this.





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© 2013 by Trevor Smith, FNP