I took my first option trade today ๐. I bought a call option at a strike price of $475. My break-even price was $483, and the settlement price was $488 ๐. Iโm currently bullish on $BNB, and the call option was a great reward for my sentiment.
The major advantage of option trading is the limited loss. If things go south, my loss is limited to the premium amount paid. This can be especially useful for new traders like myself who are always tempted to move their stop loss and expecting that the price will retrace in their favor, thus leading to devastating losses.
With options trading, if youโre right, you make money, and the amount you can make is not capped if prices move well in your favor. However, your losses are capped. This is the exact definition of a good risk-to-reward trading opportunity.
A quick question is how you can get started. Binance has made it extremely easy. Just head to the options section, and you'll find incredible and easy materials to start your journey fast.
