TraderEducatorOnline.com

Honesty and Depth in Trader Education

  • Home
  • About
  • Contact
  • Risk Warning
  • Trading Dictionary
  • Jungian Dictionary

The Rookie’s Guide to Options (Book Review)

July 29, 2010 by Terry Chitwood Leave a Comment

The Guru Investor (Book Review)
A Trader's First Book on Commodities (Book Review)

The Rookie’s Guide To Options: The Beginner’s Handbook of Trading Equity Options
by Mark D. Wolfinger
272 pp.  W&A Publishing

The Rookie’s Guide to Options: The Beginner’s Handbook of Trading Equity Options by Mark D. Wolfinger is written by a veteran option trader with more than 20 years of experience on the floor of the Chicago Board Options Exchange (CBOE). I rate this book number 1 currently in the beginning stock options trading category because of its logical chapter layout and structure as well as its clear prose.

Wolfinger thoroughly covers the covered call by using three chapters to explain it in detail. In addition, there are chapters on collars, credit spreads, iron condors, double diagonals, writing cash-secured puts, and much more. I especially like Wolfinger’s chapter on equivalent positions in which he explains the use of synthetics.

In the chapter on risk management, Wolfinger talks about trading within your comfort zone. This implies that fear will have little impact on your trading decisions. In fact, if you feel too much fear in a trade, I recommend gradually reducing the number of contracts per trade until you experience little or no fear in the trade. Then, when you feel ready to challenge yourself and move beyond your comfort zone, you can gradually and incrementally increase your per-trade contract size.

A  beginning book on stock options could be dull and boring. Instead, Wolfinger’s book is written with a precision and clarity that leads to an enjoyable learning experience.

The Guru Investor (Book Review)
A Trader's First Book on Commodities (Book Review)

Related posts:

  1. Options on Futures: New Trading Strategies (Book Review)
  2. Options Trading: The Hidden Reality (Book Review)
  3. A Trader’s First Book on Commodities (Book Review)
  4. Mastering the Trade: Proven Techniques for Profiting from Intraday and Swing Trading Setups (Book Review)
  5. Enhancing Trader Performance: Proven Strategies from the Cutting Edge of Trading Psychology (Book Review)

Filed Under: Book Reviews Tagged With: cash-secured puts, covered call, credit spreads, equivalent positions, iron condors, Mark D. Wolfinger, option trader, risk management, stock options, The Rookie's Guide to Options

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Translate

Popular Posts

  • The “Sinking Bonds” Dream
  • The Christian Trader: A Trader’s Prayer
  • The Christian Trader: Bread from Heaven
  • Light from Darkness
  • Zen Kernels, Insights for Traders: Raven Moon
  • ETF Snapshot – Utility Sector SPDR (XLU)
  • The Taoist Trader: The Tao Teaches Trading
  • The Christian Trader: Angel Wings
  • The Christian Trader: God’s Money
  • Celtic Images, Insights for Traders: The Otherworld

Archives

Search

Categories

Copyright © 2023 · Metro Pro Theme on Genesis Framework · WordPress · Log in