Why can you trade option on some stocks, but not others?
For example, PGLA or MLPH. These are traded stocks, but I can't find a site that offer option on these stocks. What is the idea for this?
Answers:
Stocks that are not big adequate or live satisfactory typically don't enjoy the interest to support option. Really its of late that nobody is will to write the option on those stocks, nought more.
wow PGLA is a horrible stock look at the chart as for MPLH capably thats a penny garbabe stock that REAL investors don't throw away their time beside.
Option on stock are usually issued by brokers (securities firm), they pick up soft stocks or influential stock, and write an preference to you against the stocks for evade purpose. So, you can't find option on every stock, it depends on the broker's screening.
Why broker select those stock? because the risk business is a leverage business, why you buy picking? because you salary a low amount of money to earn the potential of the stock, why broker issues it, they buy it and it's equal they nouns for you, if the stock go up, they share the stock profit to your remedy next to you, if the stock go down, brokers earn the premium.
get it?
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Answers:
Stocks that are not big adequate or live satisfactory typically don't enjoy the interest to support option. Really its of late that nobody is will to write the option on those stocks, nought more.
wow PGLA is a horrible stock look at the chart as for MPLH capably thats a penny garbabe stock that REAL investors don't throw away their time beside.
Option on stock are usually issued by brokers (securities firm), they pick up soft stocks or influential stock, and write an preference to you against the stocks for evade purpose. So, you can't find option on every stock, it depends on the broker's screening.
Why broker select those stock? because the risk business is a leverage business, why you buy picking? because you salary a low amount of money to earn the potential of the stock, why broker issues it, they buy it and it's equal they nouns for you, if the stock go up, they share the stock profit to your remedy next to you, if the stock go down, brokers earn the premium.
get it?