option trading vs stock cash
Many traders now a day intend to shift from cash market to option market ,here is a comparison made to make it easy for them.
What is an option?
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An option is a contract giving the buyer the right, but not the obligation, to buy or sell an underlying asset (a stock or index) at a specific price on or before a certain date.
An option is a derivative. That is, its value is derived from something else. In the case of a stock option, its value is based on the underlying stock (equity). In the case of an index option, its value is based on the underlying index (equity).
for more read http://optioncallputtradingtips.blogspot.in/
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