Which optionable stock/s are low priced and favorite among options traders?( for both puts and calls)?
i am new to options trading and want to know which low priced options are favorites among investors.. i like APPLE but the Share is pretty high and involves $ 22.000 involvement ( even if contract price is low) . i want a share which is optionable , pretty sensitive to DOW , NASDAQ trend of the day.. like DELL which is about 14.. are there other stock options you would like to share/ recommend with me.. thanks in advance.. any other tip suggestion advice will also be gratefully taken.. many thanks in advance!
Most liquid stocks or ETFs have options you can trade. If you just to want to follow the indices, then the ETFs tracking them, ie. SPY, QQQQ, IWM and DIA are the favorites amongst day traders and instutional investors and traders, especially SPY and QQQQ. Their options are also widely traded everyday.
Other than the indices, the big financials, are of course extremely popular and are consistantly daily volume leaders on the NYSE. GS, MS, BAC, JPM, C, etc. Unlike other large caps such as WMT, MCD or GE, large cap financials are A LOT more volatile, and therefore more suitable for implementing option strategies and attract a lot of traders as opposed to investors. Financials are of course also the most talked sector of the market, especially since the 2008 crisis.
Other than those memtioned above, individual names like F, AAPL, GOOG, AA and others. Leveraged ETFs such as FAS and FAZ, tracking volatile sectors like financials are also very widely traded, and of course EXTREMELY volatile, which is what traders look for.
trade trends with options | admin | March 12, 2010
Most liquid stocks or ETFs have options you can trade. If you just to want to follow the indices, then the ETFs tracking them, ie. SPY, QQQQ, IWM and DIA are the favorites amongst day traders and instutional investors and traders, especially SPY and QQQQ. Their options are also widely traded everyday.
Other than the indices, the big financials, are of course extremely popular and are consistantly daily volume leaders on the NYSE. GS, MS, BAC, JPM, C, etc. Unlike other large caps such as WMT, MCD or GE, large cap financials are A LOT more volatile, and therefore more suitable for implementing option strategies and attract a lot of traders as opposed to investors. Financials are of course also the most talked sector of the market, especially since the 2008 crisis.
Other than those memtioned above, individual names like F, AAPL, GOOG, AA and others. Leveraged ETFs such as FAS and FAZ, tracking volatile sectors like financials are also very widely traded, and of course EXTREMELY volatile, which is what traders look for.
References :
SSO, SDS, SRS, URE, FAS, FAZ, IWM, TWM, UWM, GG, UNG,
References :
I personally use a screening software at http://worden.mastersoequity.com to look for these specific parameters. Yes, you can use it to find hundreds of stocks that are optionable and within your desired price range.
References :
You can refer to dalal street investment journal ‘s Pop F & O…
References :
http://www.dsij.in