Bank of America profited from a big options bet it made on an alcohol-company stock days before the beverage maker announced an acquisition in which the bank was the lead lender.
Your best bet is to first research all options at your current bank or credit union.
Typically, put options are used to bet on a downside move in the underlying shares.
The security's recent struggles have been met with growing optimism among options players as they bet on a rebound in the shares.
That mistake particularly upset a rather large number of options traders who had bet on a results report that would boost the share price.
Sundaram adds that since options trading is ultimately a bet on volatility, retail investors would probably have a difficult time estimating returns, since institutional investors don't have an easy time of it, either.
Despite the fact that EBAY has lost ground in six of the past seven weeks, one options trader placed a rather large bet that stability would soon enter the picture.
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Despite this strong price action, one options trader placed a rather sizeable bearish bet on INTC just before the close of trading on Wednesday.
The deal was something of a shot out of the blue when it was announced Feb. 14 (at least for everyone but the options trader who made a big bullish bet on Heinz the day before).
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Ratio backspreads are great options strategies to employ when you want to bet on a direction for the underlying stock, but are unsure if your direction is correct.
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The lingering concerns about the company's shares were aggravated by the options-market debut, which allows investors to bet on the future of the stock with less money at risk.
Facebook options kicked off trading with a burst of activity, as traders bet the beaten-down shares have further to fall.
An option is a contract that allows investors to bet on a stock's direction, and as is typical for IPOs, options trading for Facebook began about a week after its stock-market debut.
The solar segment no longer draws the most venture capital mainly because far less money is going into manufacturing, but investors are still willing to bet on companies that provide retail services to homes and businesses, from offering financing options to installing solar panels.
Several BET executives became instant millionaires in 1998 when Johnson took the company private and their stock options vested.
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