Recently, according to a lot of contracts, exchange data statistics, the bull market, after playing contracts have increased the number of the detonation storehouse, the reasons are these aspects:
1, affected by the market sentiment, many more leverage
2, a bull market, players operate more frequent
3, bull market volatility more intense, in case of exchange pin, pull string is blowing up the
And want to reduce the probability of blowing up, had better use options trading strategy, to add an insurance contract, the specific operation method is:
For example, when the currency present price $10000
Options is bullish: two cost $40
Contract put: $100 open 50 times leverage
One option equivalent COINS 1 spot, assuming that 2% currency fluctuations,
Right to earn $400, up 2% period contract blowing up $100, net profit of $260.
Fell 2% when earn $100 contract, option at $40, net profit of $60,
In addition to sideways, regardless of the currency fluctuations, as long as there is fluctuation, through a reverse hedge can achieve stable income,