<p>Retail option traders, mostly new traders are told to buy options because the risk is limited.</p>
<p>You cannot lose more than what you paid for the premium - this is the line often told to a new trader</p>
<p>In this episode I will share some scenarios in which a trader can lose a lot more money when buying a put option or a call option</p>
<p>I will also discuss how to avoid this scenario</p>
<p><br></p>
<p>Hope you'll enjoy this episode.&nbsp;</p>

OptionGig

Vivek Somani

050-Buying Option Can Lead To Huge Losses. I'll Show How

MAR 4, 202114 MIN
OptionGig

050-Buying Option Can Lead To Huge Losses. I'll Show How

MAR 4, 202114 MIN

Description

<p>Retail option traders, mostly new traders are told to buy options because the risk is limited.</p> <p>You cannot lose more than what you paid for the premium - this is the line often told to a new trader</p> <p>In this episode I will share some scenarios in which a trader can lose a lot more money when buying a put option or a call option</p> <p>I will also discuss how to avoid this scenario</p> <p><br></p> <p>Hope you'll enjoy this episode.&nbsp;</p>