Watch or read the linked material in this module. Using ValueLine, or the resource of your choice, choose options to track for the following investments:
1. Purchase call option
2. Purchase put option
3. Write naked call option
4. Write covered call option
5. Write put option
6. Execute the spread strategy of your choice (involves combining options)
Choose options that will not expire within one month.
Create an Excel spreadsheet and record your position values and your profit or loss for each position at least three times per week for four weeks. Longer would be better. (https://www.cboe.com/delayedquote/quote-table (Links to an external site.)) Create graphs for each of your positions. In addition to the graph, add a text box that explains your reasoning for choosing the specific options you chose and explain the goal of the strategy for each purchase. Turn in your spreadsheet via Canvas.
https://www.wsj.com/articles/more-investors-play-the-stock-options-lottery-11578280260
https://www.optionseducation.org/videolibrary/are-options-right-for-me
https://www.optionseducation.org/videolibrary/how-do-options-works
https://www.optionseducation.org/videolibrary/covered-calls
https://www.optionseducation.org/videolibrary/implied-and-historical-volatility
https://www.optionseducation.org/theoptionseducationprogram/chapter-5-simple-spreads-and-verticals
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