Part 6/8:
Trade Out of the Money: When selecting options, prefer those that are further from the current price, which affords greater leverage.
Turn Profits into Cash or Stock: When gains are realized, consider moving profits back into the underlying stock or taking them off the table entirely.
Avoid Emotional Trading: If trading becomes stressful, it's vital to take a step back and remember that the process should be enjoyable and enriching.
Never Sell at a Loss: Try not to lock in losses unless absolutely necessary; taking small profits when you can is generally acceptable.
Continuous Learning: Stay informed about the companies you invest in, market trends, and broader economic conditions.