Get Rich With Options: Four Winning Strategies Straight from the Exchange Floor (Kindle Edition)

by Lee Lowell (Author)

Editorial Reviews

Product Description

In order to survive and thrive in today's financial markets, you must seriously consider the use of options in your investment endeavors. Options allow you to reap the same benefits as an outright stock or commodity trade, but with less risk and less money on the line. The truth is, you can achieve everything with options that you would with stocks or commoditiesat less costwhile gaining a much higher percentage return on your invested dollars.

After numerous years as a market maker in the trenches of the New York Mercantile Exchange, few analysts know how to make money trading options like author Lee Lowell. In this well-rounded resource, Lowell shows both stock and commodity option traders exactly what works and what doesn't.

Filled with in-depth insight and expert advice, Get Rich with Options provides you with the knowledge and strategies needed to achieve optimal results within the options market. The book quickly covers the basicshow options are priced, strike price selection, the use of Delta, and using volatility to one's advantagebefore moving on to the four options trading strategies that have helped Lowell profit in this arena time and again: buying deep-in-the-money call options, selling naked puts, selling option credit spreads, and selling covered calls. Using these strategoes decisively, he says, is the fastest route to riches in the options trading game.

Get Rich with Options is packed with real-life examples of actual trades and detailed discussions of how options can be used as a hedging, speculating, or income-producing tool. You'll learn how to set up a home business with the best options trading software, tools, and Web sites. And you'll begin to see options in a whole new light and discover how to become part of a small group of investors who consistently win.

From the Inside Flap

In order to survive and thrive in today's financial markets, you must seriously consider the use of options in your investment endeavors. Options allow you to reap the same benefits as an outright stock or commodity trade, but with less risk and less money on the line. The truth is, you can achieve everything with options that you would with stocks or commodities—at less cost—while gaining a much higher percentage return on your invested dollars.

After numerous years as a market maker in the trenches of the New York Mercantile Exchange, few analysts know how to make money trading options like author Lee Lowell. In this well-rounded resource, Lowell shows both stock and commodity option traders exactly what works and what doesn't.

Filled with in-depth insight and expert advice, Get Rich with Options provides you with the knowledge and strategies needed to achieve optimal results within the options market. It quickly covers the basics—how options are priced, strike price selection, the use of Delta, and using volatility to one's advantage—before moving on to the four options trading strategies that have helped Lowell profit in this arena time and again.

Forget straight puts and calls, the fact is that nearly 80 percent of those seemingly simple trades expire as worthless. Here, for the first time, Lowell explains the only four options trading strategies that actually work: buying deep-in-the-money call options, selling naked puts, selling option credit spreads, and selling covered calls. Using them decisively, he says, is the fastest route to riches in the options trading game.

In addition to outlining his winning options trading strategies, Lowell also shows you how to set up your own home business with the best options trading software, tools, and Web sites.

Get Rich with Options is packed with real-life examples of actual trades and detailed discussions of how options can be used as a hedging, speculating, or income-producing tool. With this book as your guide, you'll begin to see options in a whole new light and learn how to become part of a small group of investors who consistently win.

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Product Details

• Format: Kindle Edition
• Print Length: 240 pages
• Simultaneous Device Usage: Up to 4 simultaneous devices, per publisher limits
• Publisher: Wiley (January 2, 2007)
• Sold by: Amazon Digital Services
• ASIN: B001GMAR40
• Average Customer Review: 3.9 out of 5 stars  See all reviews (50 customer reviews)
• Amazon.com Sales Rank: #46,044 in Kindle Store (See Bestsellers in Kindle Store)

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Customer Reviews

Most Helpful Customer Reviews

73 of 73 people found the following review helpful:

4.0 out of 5 stars Good, practical material, February 3, 2007

By	William Karnaze "Bill K" (Kansas City) - See all my reviews (REAL NAME)

This review is from: Get Rich With Options: Four Winning Strategies Straight from the Exchange Floor (Agora Series) (Hardcover)

I'd give this book 5 stars for its practicality, but there are a few flaws. Many options books present a Chinese menu of exotic strategies, confusing the reader and probably causing him to lose his money quickly. This book distills all of these strategies down to 4 of the ones that are the most practical for investors and traders, and that in my experience work well in real life. I was put off by the awful title, which is not the main point of the material in the book at all, but I guess the publisher wants to attract some of the get-rich-quick crowd. The clarity and emphasis are uneven. The fifth "bonus strategy" would've best been left out, because most traders would consider it extremely dangerous. On balance, the book's emphasis on profiting from option time decay by using stragegies that are safer than stock ownership greatly outweighs these flaws. You can waste thousands of dollars on options classes and end up with less useful material than is contained in this book.

49 of 49 people found the following review helpful:

3.0 out of 5 stars Good, but incomplete guidance/advice, April 21, 2007

By	K. Wu (USA) - See all my reviews (REAL NAME)

This review is from: Get Rich With Options: Four Winning Strategies Straight from the Exchange Floor (Agora Series) (Hardcover)

This book cuts to the chase in presenting four winning options strategies (see book description above for all 4, which you can lookup), which will make beginners happy as there's too much confusing options advice out there. But it falls badly short on two absolutely critical aspects of trading: exits, and position sizing (or money management).

For example, Lee presents option credit spreads as his favorite strategy, and it's certainly a powerful strategy, but of his 13 example spread trades, not one was a loser, or close to a loser! There's very little treatment of when and how to get out, nor how many spreads to put on given one's capital - areas where I really wanted to hear his analysis, because he has survived in the markets for a while. That's a huge deficit, because the potential risk:reward ratio of spreads is usually at least 4:1. So even though the odds of a winning trade can be greatly in your favor, the overall expectancy (read Van Tharp if you don't know what expectancy is) can kill you. You still need a plan to get out or at least hedge losses, and this book has little to say about that.

Also, implicit in his book is that you're already good at technical analysis and can make market calls with accuracy better than chance. So, you need an overall working strategy before you enlist the specialized options tactics he presents.

In the end, this book's value comes in telling you what really works for options, but not in sufficient detail that you can make a living at it. So start out small, and check out sites like elitetrader where people with experience can share things like exits and position sizing for spreads and other options positions in greater depth.

81 of 89 people found the following review helpful:

5.0 out of 5 stars Options Excellence, January 17, 2007

By	Bruce M. Miller - See all my reviews (REAL NAME)

This review is from: Get Rich With Options: Four Winning Strategies Straight from the Exchange Floor (Agora Series) (Hardcover)

This book is a rare read in that it is very simple to understand, yet provides all the insight into the complex options trading world. It takes very complicated ideas and makes it simple for all who read the book. You will thoroughly enjoy reading this book and it will enable you to understand a sometimes hard to understand subject-the world of options. I have taken the authors ideas and simulated some options trades and they have worked. Next step is the real thing!! I would recommend this book as a very quick and simple read. If you want to understand the world of options, this book is for you!!!!