Geldpress

The advantages of options trading are many, including the ability to reduce portfolio risk, as well as enhance gains.  Options trading is not difficult to learn, but it does take some dedicated study time.  Some of the ways to learn options trading are:

• Purchasing and reading multiple books on options trading (difficult to learn from just a single book)
• Teaming up with other knowledgeable people (mentors, discussion boards, trading clubs)
• Fee based options trading courses (easy to find, just look at the ads on Geldpress)
• Lots of practice by virtual trading fake money while you learn

I recommend purchasing multiple books because options trading can be a complex subject to someone just getting started, and it really helps to have many points of views and explanations of the various concepts.  If I were just getting started learning options, I’d start with one or more of the following:

Options Made Easy: Your Guide to Profitable Trading (2nd Edition) by Guy Cohen

Profit with Options: Essential Methods for Investing Success by Lawrence G. McMillan

Covered Calls and LEAPS–A Wealth Option + DVD: A Guide for Generating Extraordinary Monthly Income (Wiley Trading) by Joseph R. Hooper

If you have the basics down, or just want a single definitive and detailed source that covers options from A to Z, then I’d go with the following, and its workbook pair:

The Options Course Second Edition: High Profit & Low Stress Trading Methods (Wiley Trading) by George A. Fontanills

The Options Course Workbook: Step-by-Step Exercises and Tests to Help You Master the Options Course (Wiley Trading) by George A. Fontanills

With any of the above five books, you can learn to trade and make money in the options market.  I refer to so many not as a distraction and information overload, but as an opportunity for you to get multiple points of view of the complex subject.  If you continue your studies of options trading beyond the books above, or you already have the concepts down, but are looking for more advanced information, then I’d recommend purchasing the following two books:

Option Volatility & Pricing: Advanced Trading Strategies and Techniques by Sheldon Natenberg

The Option Trader Handbook: Strategies and Trade Adjustments (Wiley Trading) by George Jabbour

Virtual Trading with options for free - I would never recommend trading with real money while you are learning, but virtual options trading is a crucial element to your learning.  The options industry council has a free virtual trade platform that supports options trading.  By default, you start with $5,000 virtual dollars, but you can easily increase or decrease that amount at will.  A screenshot of the OIC virtual traders is shown blow.  Incidentally, it is almost identical to the optionxpress brokerage virtual trader, and may in fact be licensed directly from optionsxpress.