The Skinny on Options: Abstract Applications

The Poor Get Poorer

The Skinny on Options: Abstract Applications

Options involve risk and are not suitable for all investors. Please read Characteristics and Risks of Standardized Options before deciding to invest in options.

As an option’s trader, one of the first decisions we have to make is whether or not to buy premium or sell premium. Here in tastynation, we all know that the pathway to consistency and predictability is centered on short premium. A big reason why this is the case is that buying premium would require us to dig ourselves out of a hole right from the very beginning - a hole that only gets bigger and bigger as time passes.

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