{"id":45935,"date":"2017-07-27T10:28:50","date_gmt":"2017-07-27T14:28:50","guid":{"rendered":"http:\/\/www.smbtraining.com\/blog\/?p=45935"},"modified":"2017-07-27T10:28:50","modified_gmt":"2017-07-27T14:28:50","slug":"the-myth-of-financing-a-long-option","status":"publish","type":"post","link":"https:\/\/www.smbtraining.com\/blog\/the-myth-of-financing-a-long-option","title":{"rendered":"The Myth of \u201cFinancing\u201d a Long Option"},"content":{"rendered":"<p>Options Traders are often lured into believing that the less cash they pay for an options structure, the better. You must look at the full structure of an options trade to understand its risk and reward characteristics. In this video, we discuss an example of a \u201cfree option\u201d that contains a huge risk, not obvious from the amount of cash that the position initially costs.<\/p>\n<p><iframe loading=\"lazy\" src=\"https:\/\/www.facebook.com\/plugins\/video.php?href=https%3A%2F%2Fwww.facebook.com%2Fsmbcap%2Fvideos%2F10154773079433341%2F&#038;show_text=0&#038;width=600\" width=\"600\" height=\"338\" style=\"border:none;overflow:hidden\" scrolling=\"no\" frameborder=\"0\" allowTransparency=\"true\" allowFullScreen=\"true\"><\/iframe><\/p>\n<p><a href=\"http:\/\/smbu.com\/mentoring\"><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2017\/07\/mentoringop2-1.png\" alt=\"\" width=\"600\" height=\"338\" class=\"aligncenter size-full wp-image-45909\" \/><\/a> <\/p>\n<p>* no relevant positions<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Options Traders are often lured into believing that the less cash they pay for an options structure, the better. You must look at the full structure of an options trade to understand its risk and reward characteristics. In this video, we discuss an example of a \u201cfree option\u201d that contains a huge risk, not obvious from the amount of cash that the position initially costs.<\/p>\n","protected":false},"author":290,"featured_media":45936,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4189],"tags":[848,1580],"class_list":["post-45935","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-free-daily-trading-video","tag-lessons","tag-sizing"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Myth of \u201cFinancing\u201d a Long Option | SMB Training<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.smbtraining.com\/blog\/the-myth-of-financing-a-long-option\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Myth of \u201cFinancing\u201d a Long Option | SMB Training\" \/>\n<meta property=\"og:description\" content=\"Options Traders are often lured into believing that the less cash they pay for an options structure, the better. You must look at the full structure of an options trade to understand its risk and reward characteristics. In this video, we discuss an example of a \u201cfree option\u201d that contains a huge risk, not obvious from the amount of cash that the position initially costs.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.smbtraining.com\/blog\/the-myth-of-financing-a-long-option\" \/>\n<meta property=\"og:site_name\" content=\"SMB Training Blog\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/smbcap\/\" \/>\n<meta property=\"article:published_time\" content=\"2017-07-27T14:28:50+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2017\/07\/myth-3-options-trading.png\" \/>\n\t<meta property=\"og:image:width\" content=\"700\" \/>\n\t<meta property=\"og:image:height\" content=\"393\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/png\" \/>\n<meta name=\"author\" content=\"smbcapital\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" 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