How to use options to replace stocks or futures for massive profits and less risk - by Wai Hoong Chin

How to use options to replace stocks or futures for massive profits and less risk - by Wai Hoong Chin: "Since options started being trading in exchanges, few people actually use options in their trading or investment. However, recently the market has changed. In 2005, 1.5 billion contracts are being traded in the USA. In CBOE alone, more than $200 billion worth of option contracts are being traded.

More and more individual traders and institutional money managers are interested in options mainly because of their leveraged profit opportunities, ability to limit risk, ability to profit in any market environment, and the flexibility to create various strategies. What this means is that now traders and investors are able to combine different option contracts with different strike prices and different expiration dates to create profitable and suitable strategies for the market environment.

Now the question is how do we use options to replace our current trading or investment strategies? A better question is not only to replace, but to replace in a way that boosts profit potentials and reduces risks."