From the June 01, 2009 issue of Futures Magazine • Subscribe!

Big Money, Less Risk: Trade Options

Big Money, Less Risk: Trade Options

By Mark Larson

Marketplace Books

Columbia, MD

$32.95, 229 pages

Options trading can be a great way to make significant profits with less risk. Often, traders spend years studying the different strategies for making money with this challenging and potentially frustrating product. To be successful means that you must use a variety of different strategies that will help you to achieve consistent, profitable results.

Mark Larson has been successfully trading, writing and educating people on how to profitably trade options in any market condition for more than 10 years. Never before has the playing field been more level for both individual and professional traders. According to Larson, you need to use multiple, time tested strategies to help you make significant profits in any market condition. His two general strategies to build profits, the “get rich” strategy and the “stay rich” strategy, give you a beginning understanding of what can be done trading options.

Larson begins by explaining technical indicators used to spot potential option trades, an introduction to the terminology of options and how you can use the Greeks as a tool to identify profitable areas. This helps traders to effectively correlate their trades with several different indicators and reduce risk by seeing how a potential trade will benefit them.

Next, Larson talks about the different strategies used to make money with options, including buying outfights, selling covered calls, selling naked puts, bull put spreads, bear call spreads and iron condors. Larson does a great job explaining how they work and uses many different examples to show you how to set up and complete all of these strategies so that you can take advantage of the constant changes in the markets. This is how successful options traders are able to make money in both bull and bear markets.

Any level of trader would enjoy the different ideas presented to have more successful options trades.

Chris Seabury has more than 12 years experience following and writing about financial markets. E-mail him at

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