Found: 170

Options: Types and their Application for Investors and Traders

... options. If prices rise, the profit from the option will offset the additional cost of buying the raw materials. 3. Earning a Premium Selling options allows you to earn a premium, which makes this approach attractive to traders, especially in stable markets. Option sellers are obligated to fulfill the contract if the buyer exercises their right, and the premium becomes their fixed income. Example of a Premium Earning Strategy: If a trader believes that the market will remain stable and prices will not change ...

American Options: A Detailed Analysis and Application

... offsetting losses from the fall in the value of the underlying asset. Strategies in volatile markets: Traders use American options to play on short-term price changes, since they can be exercised at any convenient time. When is it profitable to use American options? In highly volatile markets: If the price of the underlying asset changes unpredictably, the ability to exercise early helps to lock in profits or minimize losses. For active trading: American options are suitable for traders who are looking for flexibility in implementing ...

European Options: A Comprehensive Analysis and Application

... safeguard against adverse changes in exchange rates. Speculation: Traders can use Call options to profit if they expect an increase in the value of the underlying asset by the option's expiration. When is it Beneficial to Use European Options? In Stable Markets: European options are suitable for situations where price changes of the underlying asset are predictable. For Simple Strategies: They are convenient for implementing basic hedging strategies or speculations. Cost Reduction: Due to their lower cost, European options ...

Major Cryptocurrency Option Expirations in August 2025: What Awaits Investors

... futures and options on Bitcoin and Ethereum. The expiration of August contracts at CME attracts the attention of large investors, as it provides signals about the sentiment of institutional participants. Analysts estimate that CME's share of the crypto options market currently stands at about 10%, which is notable for a segment that has long been monopolized by offshore crypto exchanges. The growth of volumes at CME indicates an expansion of participation by traditional funds and financial institutions in the ...

BTC and ETH Options Expiration on July 25: Market Analysis and Key Levels

On July 25, 2025, an important event is expected in the cryptocurrency market: the expiration of options on BTC and ETH. This event will have tactical implications for price dynamics and decision-making by traders. In this article, we will provide a detailed analysis of the current situation on the world-renowned Deribit platform, identify key strike ...