The beauty of Options Trading is that it can give you 1000xTimes within a day and at the same time it can eat up all of your money (whatever you have) and bring it down to absolute "$0.00".
Some say that Either you must have very strong technical knowledge of the stock market, movement and must be able to predict the direction and the momentum so that you can make a lot of money $$ and lose a little when you plan to trade in the Options "OR" you must simply have very strong luck to make sure you can money tons of money $$ and lose a little because Options trading is very similar to "Playing in the Casino", the only difference is that you can predict the outcomes in the "Options Trading" while its not possible when you play in the "Casino".
Pros :-
1) Yes, you don't just make 2% or 10% profits within a day, you can make 1000% or 5000% or in exceptional cases 10,000% profits within a day provided there comes HEAVY MOVEMENT (4%-5%) in the index (S&P 500, Dow Jones, Nasdaq) or the (10%-25%) in the Stocks you are trading into.
2) Yes, you can start to trade with as little as $5 - $10 and if you are very lucky OR you are very knowledgeable then you can convert this $5 - $10 into $10,000 within a day.
3) You need not to wait for hours or days or weeks or months or years to see the capital grow, the capital can see instant growth (within seconds & minutes).
Cons:-
1) Bitter Truth - Just like you can make up to 10,000% within a day, within an hour, within a minute... you can also lose whatever you have within a day, within an hour, within 1 minute.
2) Theta eats up the Premium Value of the Options every day and it eats up the value a lot when the expiry comes near. This means if the stock doesn't move or index doesn't give any movement then also you can see next day the value has decreased automatically (because of THETA).
3) Options Trading poses LIMITED RISK for the Options Buyers whereas UNLIMITED RISK for the Options Sellers.
4) Options are extremely volatile which means within one day or one hour the Premium value can rise from $1 to $100 and can come back to $1 and then can rise to $500, it all depends on HOW MUCH movement and momentum and volatility is there in the defined stock or the index (S&P 500, Dow Jones, Nasdaq)
5) Options trading "very frequently" creates absolute panic, fear, excitement, emotional ups and downs many a times within a day.
6) You must have good/strong knowledge of the stock market in general because you can start trading in the Options because Options are complex in nature.
My Programs :-
a) S&P 500 (Stock Market) Knowledge Transfer Program - https://www.tradingsp500.com/s-p-500-knowledge-transfer-program
c) Patreon community for the daily S&P 500 Analysis and Updates - https://www.patreon.com/LakshmanSingh
