I am currently paper trading options on Think or Swim. I only recently learned about trading options, I have never traded on any platform before, and there are some things that I have encountered that I have questions about. If I can get these questions answered, it would help me be able to grasp a better understanding of the platform and the process of options trading. Thank you in advance!
Question 1: I have several positions that I monitor everyday. I only make my trades at night or in the morning before I head to work, for the time being. I check them at around 4pm everyday when I get off. I see losses and gains everyday. They are usually for small amounts, but I have no clue where they are coming from. Some of my positions are in the money, and some are not. Some show profit and some show loss, but all of them have until Friday before they expire. What I need to know is what are the profit and losses coming from? Do I lose/make money everyday that the position is out of the money/in the money? If so, is there a way I can know how much I will gain or lose everyday that they are in/out the money? And where can I find that information?
I hope I asked the right question and my others will follow after this one is answered. thank you and God Bless.
Question 1: I have several positions that I monitor everyday. I only make my trades at night or in the morning before I head to work, for the time being. I check them at around 4pm everyday when I get off. I see losses and gains everyday. They are usually for small amounts, but I have no clue where they are coming from. Some of my positions are in the money, and some are not. Some show profit and some show loss, but all of them have until Friday before they expire. What I need to know is what are the profit and losses coming from? Do I lose/make money everyday that the position is out of the money/in the money? If so, is there a way I can know how much I will gain or lose everyday that they are in/out the money? And where can I find that information?
I hope I asked the right question and my others will follow after this one is answered. thank you and God Bless.
Think or Swim Q&A
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