What are the rules for options trading? What are the rules for individual stock options trading?

Updated on Financial 2024-03-16
9 answers
  1. Anonymous users2024-02-06

    The trading varieties of options are divided into ** options, stock index options and commodity options, and the trading rules of each variety are different.

    The basic trading rules of 50ETF options refer to the option buyer to buy or sell a fixed number of contract units of the call or put option to the option seller at the agreed strike price at the agreed time in the future by paying the premium, and the underlying asset is (50ETF)**.

    The type of contract

    50ETF Call Options:

    At the agreed time, to agree on the right of ****50ETF**.

    50 ETF Put Option:

    At the agreed time, the right to sell 50 ETF at the agreed time.

    The direction of the trade

    Options trading is divided into buyers and sellers, for option buyers, options are an investment method with limited risks and unlimited theoretical returns; For option sellers, options are an investment method with limited returns and unlimited theoretical risks.

    Buyers and sellers of call options and buyers and sellers of put options.

    Expiration month

    Each quarter shows four months of contract.

    Options Interpretation:Exercise**

    One flat value, more than two real values, deep real values, two more virtual values, and deep virtual values.

    Maturity date (exercise date).

    The fourth Wednesday of the due month (postponed if it falls on a public holiday).

    Option interpretation: When the contract expires, the expiration value of the out-of-the-money option will be zero, and the in-the-money option needs to be declared for exercise on the exercise date.

    Contract size

    Each option contract represents 10,000 50 ETFs**.

    Options Interpretation:

    For example, the premium of a 50ETF contract ** means that ** the contract needs to pay a share = 136 yuan premium, and if the contract premium ** is reached, it means ** a profit of 74 yuan for this contract.

    The size of the premium is mainly affected by factors such as the length of the period, the execution price, the market price and the volatility.

    If the longer the expiration time, the higher the market volatility, and the profit difference between the expiration strike price and the current market price, means that the option is more favorable to the buyer and less favorable to the seller, so the premium of the option contract is relatively higher**, and vice versa.

    Options are a good hedging tool in **, when you have an in-depth understanding of 50ETF options, it can help us get greater profits, of course, we should also pay attention to the risk of options!

  2. Anonymous users2024-02-05

    Options Trading Hours and Rules:

    1.Options Trading Hours and Rules: Options trading hours are at 9:00 on the trading day

    30-11:30 and 13:00-14:

    57, and the other 14:57-15:00 is the bidding stage.

    Options are not traded on weekends. The contract unit of option trading is 10,000 shares, and the reporting unit is an integer number, and the exercise method is maturity exercise. In addition, the expiration month of the option can be set to the current month, the next month, or the month at the end of the two quarters of the subsequent cycle.

    2.Options refer to a type of contract that originated in the first market in the United States and Europe. The person who holds the option can use a fixed market at or before a certain point in time.

    An option is essentially a holding of an asset. The person who holds the option only has the rights, but does not assume the obligations of the option. The underlying of an option is an asset used to buy or sell, including bonds, commodity types, currencies, indices, etc.

    Since options are derived from a large number of underlying assets, options are also derivatives of a financial product.

    1.There are two basic types of options: call options and put options. Options trading rulesAccording to call options, the option holder has the right to purchase the target at a certain time and option trading rules; According to the put option, the option holder has the right to determine the underlying at a certain time and the options trading rules to a certain target.

    Options trading is an option transaction.

    2.According to the options trading rules, the options trading rules call option holders can buy ** physical assets on a certain date, and the options trading rules can also give up the purchase of ** assets on the expiration date; For put option holders, the options trading rules can determine the date of **** physical assets, and the options trading rules can also reject **** assets and pay margin.

  3. Anonymous users2024-02-04

    The rules of options trading are relatively simple, according to a predetermined **, ** or the right to sell a certain amount of a particular commodity or financial indicator.

    1. The rights and obligations of the buyer and the seller are different. The buyer has the right to pay the premium and has no obligation; The seller has no rights and obligations after receiving the royalty.

    2. The benefits and risk characteristics of buyers and sellers are different. The buyer's maximum loss is the premium, and the potential gain is huge; The seller's maximum benefit is the premium, and the potential loss is huge.

    3. The deposit payment requirements of the buyer and the seller are different. The buyer does not need to pay a security deposit, and the seller must pay a security deposit as a performance guarantee.

    1. Do not place an order to buy or sell at the market price of the option: the liquidity of the option is generally not as good as the liquidity of the underlying stock. If you place an order to sell at the market price of an option, you are likely to suffer a loss or lower income due to low liquidity when the liquidity is low.

    If the order is placed to buy at the market price of the option, when the underlying stock price is **, the option will be bought at **, resulting in an increase in cost.

    2. Be cautious about buying out-of-the-money contracts: Out-of-the-money contracts have no intrinsic value, only time value. If you do not have a large grasp of the future trend, you still need to be cautious about buying out-of-the-money contracts.

    1. Call options: Call options are one of the most popular trading strategies since the launch of listed options. Before learning more complex call and put strategies, the average investor should have a thorough understanding of some of the basics about ** and holding call options.

    2. Put options: Long put options are an ideal tool for investors looking to profit from the underlying ******. Before understanding more complex put strategies, investors should first thoroughly understand the basics of holding put options.

    Fear index

    The fear index generally refers to the CBOE VIX index, which is a reference index to measure the current financial market risk and investor panic, that is, when the fear index ** means that the investors in the market are in panic, and the fear index ** means that the investors in the market are in panic.

    **

    Moving flat is one of the most commonly used technical indicators for investors when investing in options, which not only reveals the average cost of market participants at a certain stage, but also measures the possible trend changes in the trend, so it is crucial in trading.

  4. Anonymous users2024-02-03

    Hello! The trading rules are as follows:

    1. Every trading day from 9:15 to :

    30 to 15:00 to 15:

    00。Where, 9:15 to 9:

    25 is the opening call auction time, 14:57-15:00 is the ** call auction time, and the rest of the time is the continuous auction time.

    2. Specific trading rules:

    1) The types of trading include: ** open position, ** close position, sell open position, sell close position, covered open position and covered closed position, etc.

    2) The option buyer shall pay the premium; The seller of the option receives the premium and shall pay the margin in accordance with the regulations of the Exchange and ChinaClear.

    3) If the investor makes a ** liquidation entrustment, he must hold the corresponding obligation position. **If the number of orders to close a position exceeds the number of obligations held, the order will be invalid.

    4) If the investor entrusts to sell and close the position, he must hold the corresponding right position. If the number of orders to sell and close positions exceeds the number of rights positions held, the order is invalid.

    5) If an investor opens a covered position, he or she shall first submit a covered locking instruction for the underlying contract of the contract, and submit the underlying of the contract in its ** account as the one used for covered opening of the position. The Exchange locks in the corresponding amount of covered reserves** in real time, and the locked covered reserves** cannot be sold, but can only be used to open covered positions or release covered locks. Tradable shares with restricted conditions may not be designated as covered standby**.

  5. Anonymous users2024-02-02

    Option refers to the over-the-counter trading instrument in which the option buyer pays the option premium to the seller and obtains the option income, so what are the options trading rules?

    OTC options refer to non-standardized financial option contracts conducted in non-centralized trading venues, which are financial derivatives that are formulated and traded according to the needs of both parties according to the negotiation between the two parties in the OTC or the matchmaking of intermediaries. The nature is basically not much different from the options trading carried out on the exchange, and the most fundamental difference between the two is whether the options contract is standardized.

    OTC options are designed according to the needs of customers, are personalized and more flexible, although there is no unified listing and instruction rules, but they occupy a clear advantage in terms of trading volume and trading volume.

    Introduction to OTC Options Trading Rules:

    Opening] 9:30-14:30 on the trading day is the transaction at that time (the transaction time is about 5 minutes); Submissions made after 14:30 will be closed the next day.

    Liquidation] can be exercised on the second day after the position is successfully opened, and the maximum time is the exercise period of ** option.

    2. Exercise period and method:

    The exercise period is divided into 2 weeks - 12 weeks (currently 1-3 months), the longer the exercise period, the higher the corresponding premium;

    The exercise method is American-style exercise, which means that you can choose to exercise the option if you make a profit at any time during the period (except for the day of opening the position);

    If the suspension time does not exceed the exercise period, it will not be affected; If the exercise period is exceeded, the transaction will be traded according to the opening price on the first day after the resumption of trading.

  6. Anonymous users2024-02-01

    **Trading rules for optionsOrders:

    Currently, exchanges.

    There are 6 types of buying and selling, including:**Open position, sellClose the position, sell to open a position, ** to close a position, to open a covered position and to close a covered position.

    Open a position, i.e. an investor's option.

    Sell to close the position, i.e. the investor sells the option before** to close the position.

    Sell to open a position, i.e. the investor sells ** option. Unlike **, which has the right to open a position, selling to open a position means that you need to bear the corresponding obligations. Therefore, only the option premium is required to open a position, while the investor is required to pay a full margin to open a sell position.

    to open a position. Closing the position, that is, reversing the corresponding obligation by the previously sold option, at which time the exchange will release the corresponding margin.

    Covered open position, that is, the investor expects **** on the basis of owning the underlying **.

    The operation of selling the call option of ** to obtain the premium by changing the change is small or small**. Unlike selling to open a position, it is 100% cash guaranteed and no cash margin is required.

    Covered liquidation, that is, the covered call option sold by the investor ** before, is calculated and minus the available margin according to the amount of premium declared by **. After the transaction, the covered position will be calculated and the covered position will be increased. When the ** position exceeds the currently closed covered position, the return is invalid.

  7. Anonymous users2024-01-31

    There are 50 options available for trading on the SSE. The premium of each ** is different, and the transaction cost required is also different.

  8. Anonymous users2024-01-30

    Options trading is a kind of financial derivatives trading, which gives the buyer the right to agree or sell an underlying asset within a specific time in the future, and the seller has the corresponding obligation (the simple solution is that the buyer can use a fixed **** asset in the future, if the future asset ** can be sold to earn the difference, the asset does not rise or ** will lose part of the asset value). This underlying asset can be:**, stock indices, commodities, forex, indicesWait.

    Common underlying assets in China are the SSE 50 ETF, CSI 300 ETF, and STAR 50 ETF.

    Options trading is all about participating in speculation, hedging or arbitrage in the market by selling or selling options contracts.

    Options contracts typically contain the following elements:

    Underlying assets: The underlying assets agreed in the option contract can be **, index, commercial liquid, etc.

    Exercise Price: The amount of the underlying asset that is bought or sold as specified in the option contract.

    Expiration date: The expiration date of the option contract, which is the deadline by which the buyer and seller will perform the contract.

    The purpose of options trading can be to earn price differentials, hedge risk, or engage in arbitrage trades. Traders can choose or sell the appropriate option contract based on their judgment of the market. The buyer pays a premium as a fee for the purchase of the option, while the seller may receive a premium as income from the sale of the option.

  9. Anonymous users2024-01-29

    Options trading is a type of financial derivatives trading that gives the holder the right to sell an underlying asset at a specific time in the future. Options trading can be carried out in **, commodity, foreign exchange and other markets, providing investors with flexible and diverse investment strategies and risk management tools. This article will introduce the basic concepts of options trading, the main types, and how to trade options.

    OneOptions tradingBasic concepts

    Option contract: An option contract is the basic unit of options trading, including the underlying asset, exercise**, exercise method, expiration date and other elements of the option contract. The investor who buys an option contract is called the buyer, and the investor who buys the option contract is called the seller.

    Call option and put option: A call option gives the holder the right to use a specific underlying asset at a specific time in the future; A put option gives the holder the right to sell the underlying asset at a specific time in the future for a specific **.

    Exercise**: Exercise ** is the purchase and sale of the underlying asset agreed by the buyer and seller in the option contract. For call options, the exercise is lower than the current market; For put options, the exercise is higher than the current market.

    Second, the main types

    European-style vs. American-style options: European-style options can only be exercised on the expiration date, while American-style options can be exercised at any time before the expiration date.

    Call Options and Put Options: Call options (call options) are available to investors who expect the underlying asset****; A put option (put option) is applied to the investor who expects the underlying asset****.

    Long Options and Short Options: Long options refer to one of the parties to the option contract, hoping to call on the underlying asset to obtain profits; A short option is a position on which the party who sells the option contract wants the stability or volatility of the underlying asset** to make a profit.

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