The Options Base Camp manual is structured into 12 easy to read Modules, including many illustrations to highlight the major concepts. The following are the course manual topics.
1) My personal goal setting plan
2) General knowledge
- What markets are available to be traded
- Who are the participants within options markets
- Important terms you must know
3) Understanding options
- What is an option?
- Insurance analogy
- The structure of an options contract
- Contract specifications
4) How to make profits with calls and puts
- The profit/loss or pay-off diagram
- Profit/loss diagrams of call options
- Profit/loss diagrams of put options
- Summary of the 4 basic options positions
5) The Greeks Delta & Theta
- Delta
- Theta
- The 2 parts of an options premium
6) Order placement & trading software
- Types of options orders
- Communicating with your broker
- How to place an options order
- How to place a spread order
- Virtual trading
- The “Edge” of successful options traders
- How to watch and record market activity
- The exercise assignment process
- Price direction & technical analysis
7) Technical analysis
- What is the S&P 500 index
- Stages of an index chart
- defining a trend
- Moving averages
8) Volatility analysis
- Options Valuation
- Interpreting volatility charts
- Implied volatility and options valuation
- Why volatility is important
9) The covered call strategy
- Earning extra income from your share portfolio
10) The value of mentoring
- Mentoring program elements
11) Exercises
- Exercise 1: Buying call options
- Exercise 2: Buying put options
12) Glossary
- The definition of 160 trading related terms