The SSE 50ETF option is an option contract with the SSE 50ETF as the target.
The nature of the contract is the right to buy or sell the SSE 50ETF index fund at a certain price at or before a certain time in the future after paying a small amount of fees (also known as "royalty", which is also the price of trading options contracts). After the expiration, you can choose to exercise this right and get the difference income; If choosing exercise is a loss, you can naturally choose not to exercise.
The SSE 50ETF option market is highly correlated with the A-share market, and it is also a widely used hedging and investment tool in the A-share related market.
Domestic options are becoming more and more perfect. In recent years, Shanghai Stock Exchange and Shenzhen Stock Exchange have listed options of major indexes, including CSI 300ETF options, CSI 500ETF options, GEM ETF options, stock index options and futures options. The options market will be bigger and bigger.
The trend of the underlying SSE 50ETF and the broader market can be considered to be consistent, so the option contract is essentially a leveraged way to bet on the rise and fall of the broader market, but the strategic application space is huge. It should be noted that more options information can be found in Caishun Options.
How to trade 50ETF options?
The trading of 50ETF options is actually very simple, that is, I want to know more about the contract term than stocks. The specific trading steps of 50ETF options are divided into: judging contracts, selecting contracts, opening positions and then closing positions, and ending the whole trading process. ? Caishun Option Bian Xiao has compiled some practical diagrams and some knowledge points on how to judge and choose option contracts. Please refer to the following for details.
1. Options trading has four basic instructions.
Open positions: buy call options, buy put options, sell call options, sell call options.
Closing method: The buyer and the seller can close the position as shown in the figure, or they can close the position by directional trading, and the buyer can also exercise the right to close the position.
Since the transaction of 50ETF options is between buyers and sellers, buying and opening positions can be closed by selling, and closing positions can be closed by selling. Similarly, selling and opening positions can be closed by buying and opening positions, or by buying.