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Options trading is a viable financial trading option for investors who are looking to go beyond equity and bonds. This investment strategy can reap gains and losses for investors by blocking contracts. Thus, it is a risky strategy to make money but should it get successful, it rakes in big money too!
Besides seminars and online videos, reading books on options trading is a good idea to gain knowledge about it. We have listed some of the best books on options trading for your consideration right here. It is so that you can understand this field to gain expert knowledge.
7 Best Books on Options Trading & Reviews
1. Options Trading Crash Course
Author: Frank Richmond
Publisher: Independently published
Options Trading Crash Course is a book that begins to lay the groundwork for an initial understanding of the options market. Subsequently, it expands to describe vital concepts and offer an indigenous way to learn all about the options market. Thus, on an overall scale, this book is one of the handiest resources you can buy to learn all about this investment plot.
This book is no magic dust that tells you how to multiply your money. But it equips you with the knowledge to trade in the options segment of the market, which will ultimately make your bank balance happier. In very few pages, the author covers various intrinsic topics related to the options market. Along with this, he explores patterns which the market is known to observe. Needless to say, the book is a crisp and quick read on the topic and proves to be efficient reading material for someone who wants to go through the basics, perhaps to decide if they wish to step into options trading.
The author claims that reading this book can easily help you get started with options trading. To an extent, this can be held true since the book is quite explanatory. So, it can be really used as reference material to start with trading in the options segment.
Summary: This book can help you gain comfort in trading in the options segment of the market. Hence, readers can go for this book to start learning options and markets.
2. Options as a Strategic Investment
Author: Lawrence G. McMillan
Publisher: Prentice Hall Press
Jumping on to the more serious stuff is this book which spells details about the options market, with the oversight of a profit making strategy. This book is a wealth of ideas and plans that could put you on the path to profit making and multiplying your investments. To make the book a promising resource for users, the author has also included various market tools. Hence, the earning potential of an investor can soar high with the aid of this book.
Notable among the many findings in this book is the author’s claim to the effectiveness of his ideas. No matter which direction the market may be headed to, he claims that an investor using the principles laid down in this book will stand to benefit under any circumstance. In this book, the author has shared his valuable experience which can improve an investors outlook.
However, a word of note for the readers here. This book starts off at a spearheaded pace which means that readers with some degree of experience and knowledge in options trading will be able to keep up with its content matter. To the absolute uninitiated, this book might pose a fair share of a challenge at first.
Summary: The readers will appreciate the generosity with which the author has shared portfolio building strategies. So, a large percentage of its readers will find this book useful.
3. The Options Playbook
Author: Brian Overby
In this book, the author navigates through different investment strategies in the options market. Suitable for beginners as well as advanced players in the market, this book is a direct insight into the world of options trading. The sole idea behind penning down this book revolves around teaching the technicalities of the market to the reader. Hence, this clearly directed book, sans the technical jargon, might be what you are looking for!
There are many angles through which the book seeks to elaborate on the concept of options trading. At the same time, the author also presents a cautionary guide to avoiding making mistakes. So, it saves you from a disaster which could spell the case of blunders for your investments. The viability of the book is positively affected by the fact that it offers something for every level of investor. Thus, a wide array of readers can pick up this book.
Included in this book is also a history of options trading and how it has expanded in the present day to become a full fledged market domain. The overall length of the content is brief, as is its title but managed to deliver an existential flow of matter to study and explore. The author leaves the reader with an insightful thought on this market segment. He raises a fair warning that options might still not be suitable for every type of investor so caution is necessary.
Summary: Based on the reader’s existing expertise and knowledge, this book is a treasure of resources and information. So, it can really help out most readers who are trying to unravel the market.
4. Option Volatility and Pricing
Author: Sheldon Natenberg
Publisher: McGraw-Hill Education
This book on options trading is highly recommended for every trader because it covers a wide array of strategies and management techniques which can boost an investor’s game in the market. The options market tends to be highly volatile and can put to test any trader’s patience and knowledge. Hence, this book acts as a pathfinder to greater profits with a hedged strategy which can be followed in the long run.
The book covers an array of topics in the field of options trading. So, there is no dearth of information that can be gathered on the topic by an avid reader. The text is presented in a clear and concise fashion. So, the book makes it possible to gather insights and understand the presentation of facts.
Summary: The author works around a number of theoretical models and makes a point by targeting risk management strategies which are directed to save the investor’s money. This is why the book might appeal to many.
5. Binary Options Trading
Author: John Reigner
Publisher: Independently published
The length of the book makes it amply clear that the reader does not need to delve into a hefty volume of pages to understand the field of options trading. The author presents a confident stance by talking about numerous topics which are relevant to the field of options trading. But the facts are presented in a short and crisp manner. Thus, it helps to keep the reader engaged and also covers up the topics with relative swiftness.
The author has written this book with the aim to help the reader become a successful investor. So, there is no doubt as to his efficacy in penning down the information with accuracy. The author also instigates the reader to try a practical approach to learn options trading. He does this by motivating them to try trading in the options market. In the words of the author himself, this book is a well of overflowing water and the reader need only be a sponge to absorb it all.
Finally, the author ends his book with an inspiring message to the reader, motivating him to start their journey in the world of trading with a cautious but patient approach.
Summary: This book is really user friendly and accessible in terms of its fluid language, which is why the readers will find it highly useful and rewarding in return for their time and effort.
6. Trading Options Greeks
Author: Dan Passarelli
Publisher: Bloomberg Press
The author of this book presents a serious and directional approach to keep up with the options market. In this book, he has presented the reader with a host of terms and definitions which are essential ammunition to step out in the options market with the target to capture handsome returns. But in doing this, the author has left no stone unturned since he has designed this book with accurate information and fresh insights into the functioning of the market.
As an essential guide, the book serves to reward the reader’s instincts with a wave of information. And while achieving this, the author ensures that the information enlisted in the book is accessible to his readers with ease. It is reassuring to find the inclusion of the latest information in this book, which indicates its dynamism according to the changing times.
Summary: The readers will come to appreciate the formal tone of the author and the style of writing which is highly systematic and organized in this book. It is also accurate and updated!
7. The Option Trader’s Hedge Fund
Author: Dennis A. Chen and Mark Sebastian
Publisher: FT Press
This book is a practical guide to making slow but steady money through the options trading segment. In this book, the author has used a definitive approach to guide the reader along his journey to making handsome returns from the market. To do so, the author has designed an explanatory structure so that the reader can be introduced to the subject of options trading and guided along the way to investing in the market.
This book is also packed with numerous examples, afforded from the author’s personal experience, adding a richness to the treasure that this book already happens to be. This book is apt for use by a beginner as well as an expert in the field of options trading. Thus, it will appeal to a wide array of readers.
The knowledge shared by the author in this book is highly relatable and proposes to enlighten the reader so that he can make the most of his investment fund. Compare this book to an operations manual and you might be able to understand why we have enlisted it here. Setting up a proficient portfolio can be easy for a reader if done by following the guidelines mentioned in this book.
Summary: The readers will appreciate the thorough knowledge which the author has shared in this book. It is highly commendable to see the author step out to make the topic of options trading so accessible for investors.
With this, we complete our list of the best books on options trading and hope that you could find a book suitable for reading on this topic. These books have been compiled after thorough consideration. But we urge you to share any other book which you may have read on the topic and which can be referred for information on options trading.