by Tradingrichmom
When trading options online you may ask, what is a coupon trade? In our trading group this is what we call an out-of-the-money options trade with a long expiration date. Other words, this is an intermediate option trade with expiration of 3-4 months or more.
Why would a person coupon trade?
• Uses less capital
• Normally does not require constant monitoring
• You are looking for a long term investment. Several months.
When not to use a coupon trade
• If your weekly
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