Is it easy to make a profit on 50 ETF options?

50ETF is more complex, requires high professional knowledge, and is not so profitable.

The return of 50ETF options is non-linear, and the return of options is mainly related to the value of the contract and the value of time, while the maximum loss of 50ETF options contracts is the loss of premiums.

In order to better make a profit by trading 50ETF options, it is recommended that you carefully select the appropriate option contract, pay attention to the expiration date of the option, and pay attention to the timing of the option**.

Risks of 50 ETF Options:

The risk of not being able to close a position.

Investors should be aware of the risk that it may be difficult or impossible to liquidate an option contract and the possible losses it may cause. For example, when there is not enough trading volume in the market or when there is no way to find a reasonable deal** in the market, investors as holders of options contracts may be at risk of not being able to close their positions.

Leverage risk. 50ETF options trading adopts the method of premium trading, investors can see that the gains and losses are magnified exponentially when doing options trading, especially the total losses faced by investors who sell open options may exceed all the initial margin and additional margin they pay, which has leverage risk.

**Volatility risk.

When trading 50ETF options, you should pay attention to the volatility of the spot market, the volatility of options and other market risks and possible losses, such as the seller of the option has to bear the obligation of actual exercise and delivery, and the loss caused by the fluctuation may be much greater than the premium received.

High premium risk.

It usually refers to a situation where out-of-the-money options are being speculated near expiration. That is to say, the expiration date value of out-of-the-money options will definitely be zero, if you chase **** before expiration and it is out of value at expiration, you will face a large loss of premium.

Risk of expiration of contract entitlements.

Investors should pay attention to the last trading day of the options contract. If the buyer of the option does not close the position early on the last trading day of the contract, then, because the value of the option will automatically return to zero after expiration, the contract right will become invalid, so here, investors are reminded to pay attention to whether the option is exercised or closed on the expiration date of the contract, otherwise the option buyer may lose all the premiums paid and the income from the fluctuation of the contract** that he thought he might obtain.

For beginners, it is not very easy to make a profit through 50 ETF options. 50ETF options can be long or short, and can be closed at any time during T+0 trading hours, without additional fees, and can be doubled a lot in a day, but it can also lose a lot.

The chart below is the rise of the put (short buy) on February 22, 2021, we can see that the highest increase is 600%, with a position of 100,000 at the end of last Friday, ** directly becoming 600,000.

But if you buy in the wrong direction, the loss is not small.

SSE 50 ETF options, also known as 50ETF options: are options products designed with 50ETF** as the underlying asset. Approved by the China Securities Regulatory Commission in 2015, the Shanghai ** Stock Exchange listed 50 ETF options contracts for trading on February 9, 2015.

To put it simply: 50ETF options will fluctuate with the fluctuation of the 50ETF index, and traders can make profits through buying and selling, speculation, hedging, etc.

Because options are leveraged, 50ETF options will fluctuate violently with the daily rise and fall of the 50ETF or SSE 50 index, and investors can make profits by judging the rise and fall of the SSE 50 index and trading 50ETF options.

Specifically, see**. There are 200 times and 1000 times, but that kind of hard work is hard to find, only after practicing the basic skills and accurately grasping the trend of the underlying assets, can you have the opportunity to get a high return! In addition, in addition to 50ETF options currently listed in China, there are 6 other commodity options, and the correct return is also objective.

SSE 50 index options can have up to 10 times leverage, which means that if you earn double, it is equivalent to making 10 times. If in a trend, an index or several times, then if your leverage is 10 times, then you may make a profit of dozens of times.

There are hundreds of pips in a day, details private message.

We know that 50ETF options can be traded long and short.

The choice of subscription and put is very simple to understand, **subscription is long, **put is short.

There are many characteristics of call options, it is very suitable for strong bullish **, and it is also one of the most popular option strategies used by investors, the maximum risk is to lose all the premium, the theoretical unlimited maximum return, and the break-even point at maturity is the strike price + premium.

The situation of put options and calls is opposite, when investors invest in options, it is very suitable for strong bearish **, the loss of all the premium is its maximum risk, the theoretical unlimited maximum return, the maturity break-even point is the strike price - premium.

How much is the minimum amount of money required for a 50 ETF option? Suppose the latest price of a call contract in the line is, which means that ** is $855 because it needs to be multiplied by 10,000 contract units.

AbsolutelyComplicating matters are also sell calls and sell putsThe selling method adopts a margin system, and the margin for opening a position is about 5,000 yuan, and the higher the contract, the higher the margin.

Sell Call Options - Not bullish on the market outlook, ** down or sideways are profitable.

Sell put options - not bearish outlook, ** up or sideways are profitable.

Whether you are a buyer or a seller, you can close your position at any time on T+0 to understand your position, or wait until the exercise date to exercise and deliver 50 ETF** shares to understand your position.

Finally, pay attention to profit and loss, the expiration date of 50ETF options In the options market, when investors choose option contracts, other factors are the same, the time value of options with long remaining maturity is high, and the more expensive it is. The time value of the option with a short remaining term is low, and the contract will gradually shrink over time.

Therefore, in the process of holding, if there is a profit, we can close the contract in our hand, and with the decay of time, the contract is less and less valuable.

It is recommended that friends learn the knowledge of 50ETF options, fully understand options, and respect the options market in order to optimize profits.

First, the choice of direction:

50 ETF options can be bought up or down; It's going long or short**.

So the first thing that needs to be taken into account is the choice of direction.

If it is bullish, call the option, and if it is bearish, put the option.

Second, the choice of the month:

50ETF options have 4 months of contracts, which are the current month, the next month, the current quarter month, and the next quarter month.

It is recommended to choose the current month contract as the investment object, the ** fluctuation of the monthly contract is relatively large, the cost is lower than that of the far month contract, and the income is cost-effective.

Option tip: When the contract expires, the ** of the virtual contract is more unstable, and the loss of time value is very fast. It is important to note that it is advisable to consider moving most of the virtual value contracts to the next month's contract a week before the contract exercise (the exchange rule is usually the fourth Wednesday of the month in which the exercise date is made).

For the months of the virtual value contract, keep a small percentage of the proceeds.

3. Selection of contract:

It is recommended to choose the closest one"50 ETF option current price"The ** contract is used as an investment object, because 50ETF options come with leverage, the out-of-the-money leverage is large, the actual leverage is small, and the at-the-money (the most advanced from the current price) leverage is moderate.

An option is a contract between two parties to a transaction regarding the right to buy and sell in the future. In the case of options, the buyer of the option (the right party) obtains a right to sell a specific amount of the option to the option seller at an agreed time by paying a certain fee (premium) to the seller (obligated party). Of course, the buyer (the right party) can also choose to waive the exercise of the right.

If the buyer decides to exercise its rights, the seller is obliged to cooperate.

Judgment**. Investors first need to judge whether the option should be ** or **, and judge the magnitude and speed of the rise and fall. Select a policy.

If the investor judges that it will rise in the future, then he chooses to call the option, and if he judges **, he chooses the put option and chooses the strike price. There are three value states: real-value, at-the-money and imaginary, and investors need to choose according to the judgment and choose the term. After selecting the above conditions, the investor needs to choose the duration of the contract.

Are you sure**. Investors should determine the best according to the risk and their own capital situation, and manage it dynamically. Investors need to continue to pay attention to the trend, and then choose to close positions, exercise, increase positions, reduce positions and other operations according to the situation.

SSE 50 ETF options not only need to judge the rise and fall, but also need to judge the magnitude of the rise and fall. Determine whether it is a big rise or a small rise, a big drop or a small fall. The way to make orders with different amplitudes is different, if it is a small rise**, you may lose money if you use a large rise strategy.

If you are a novice and are not very good at judging the ups and downs, you can choose a more stable investment method, that is, the ** real value contract.

I don't know how to trade if I haven't traded, but the first step in any kind of investment is to judge the direction of the rise and fall.

Investors are most concerned about the issue of leverage in investment, because it is directly related to their own returns. Investors hope that they can gain more money after investing their money, so they will naturally pay attention to leverage in the investment process, so what is the leveraged trading of 50ETF option investment?

First of all, let's take a look at the leverage attributes of 50ETF options, and the premium fees are different for different option contract durations. Options contracts are also divided into in-the-money contracts, at-the-money contracts and out-of-the-money contracts, and the corresponding leverage of these three types of contracts is also different. To put it simply, the cheaper the option contract, the higher the leverage, the more expensive the option contract, the less effective the leverage, and the cheaper the out-of-the-money option contract, the closer to the expiration date, the value is easy to zero, resulting in the loss of the premium, so it is a technical choice in the choice of contract, you need to judge the contract that can bring you profits.

The number of 50 ETF option contracts is very largeCaishun FinanceThis month's contract and even the next month's and next quarter's contracts are now available for purchase, so many contracts, how should investment traders choose the most suitable one?

First, recognize whether to put or subscribe.

Investors must have the ability to distinguish whether it is a put or a subscription, that is, to judge whether it is a rise or fall.

Second, an option contract that distinguishes the strike price.

Look at the current ** of the option underlying 50 ETF, and choose the appropriate strike price option contract based on the ** of the underlying asset. This is because the gap between the strike price and the underlying asset determines how speculative you are when you are an option.

About the choice of contract. When we choose an option, we have to choose the contract according to the execution. Whether it is a call option or a put option, we can divide it into in-the-money options, out-of-the-money options, and at-the-money options according to the relationship between the exercise and the market.

So what is the difference between these three options, we can do it from the perspective of premium, implied volatility, delta, and liquidity**.

Implied Volatility:Implied volatility represents the range of changes that may occur in the option, and the more out-of-the-money the option, the greater the potential change and the higher the implied volatility. On February 28, 2019, the implied volatility of options that increased by 192 times in one day is particularly high, so once it changes, its magnitude will be greater.

deita value:The greater the absolute value of the deita value, the greater the degree of change in the premium, which also means the higher the risk of the contract. The absolute value of DEITA is directly proportional to the value of the option, the higher the absolute value of the contract DEITA, and the lower the absolute value of the contract DEITA.

Liquidity:The higher the liquidity of at-the-money options and their vicinity, the lower the liquidity of deep in-the-money and out-of-the-money options, and the higher the liquidity, the easier it is to close the position, so you must pay attention to its liquidity when choosing a contract.

The 50ETF contract is based on the unit, corresponding to 10,000 shares, which is the meaning of one lot, so how much is the ** one hand option contract? Multiply the current** of a 50 ETF option by 10,000 to calculate how much money is needed for each 50 ETF option contract.

According to the figure below: **subscribed contract*10,000 = 619 yuan, with the **** first-hand exercise price of 619 yuan as the contract. If the put on the right is a share = 1399 yuan.

It is important to know that put options look at in-the-money, at-the-money, and out-of-the-money contracts.

As you can see from the framed part of the chart, the strike price of the call contract is different from the put contract**. The premium of an option contract fluctuates depending on the market target. The ** of 50 ETF options ranges from tens of dollars to thousands of dollars.

But when most investors buy contracts, they will choose the one with a higher trading volume.

Option sauce public number

About the classification and differentiation of options contracts

Out-of-the-money contracts: Out-of-the-money options have a lower premium, the most leverage, and only time value, because cheap has no intrinsic value.

2.At-the-money option contract: The cost of at-the-money options is moderate, the leverage ratio is moderate, and the time value is the largest.

3.In-the-money options contracts: In-the-money options have a higher premium cost, less leverage, and greater intrinsic value than at-the-money and out-of-the-money options.

In the 50ETF options investment market, investors who just want to do conservative trading can choose options contracts around the average value to trade. If you want to get a larger profit, you can choose a shallow real value or virtual value contract above or below the flat value, which can effectively avoid large changes in the contract in the case of market changes, resulting in large losses.