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TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER...

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1 Saxo Capital Markets Pte Ltd | Tel: +65 6303 7788 | Web Site: www.saxomarkets.com.sg TRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM Eq 0 Saxo Capital Markets Pte Ltd 3 Church Street Samsung Hub #30-00 Singapore 049483 Phone: +65 6303 7800 Fax: +65 63037808 Web: www.saxomarkets.com.sg
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Page 1: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

1Saxo Capital Markets Pte Ltd | Tel: +65 6303 7788 | Web Site: www.saxomarkets.com.sg

TRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM

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Saxo Capital Markets Pte Ltd3 Church StreetSamsung Hub #30-00Singapore 049483

Phone: +65 6303 7800Fax: +65 63037808Web: www.saxomarkets.com.sg

Page 2: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

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1. First, clear your screen by clicking on View > Add View.

2. To view all Stock Options available for trading, select Trading > Instrument Explorer and drop down to Stock Options.

Welcome to Stock Options trading with Saxo Capital Markets. Here are some quick tips to help you get started right away.

Page 3: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

2Saxo Capital Markets Pte Ltd | Tel: +65 6303 7788 | Web Site: www.saxomarkets.com.sg

3. Instruments listed here are readily available to trade. The list of available stock options will be extended in the future.

Page 4: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

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4. Alternatively, you can search for the desired instrument by entering the Stock name or ticker in the “Look for” field.

Example: enter “Deutsche Bank” or “DBK” into the field. Be sure to select the instrument listed under “Stock Options”.

5. Right click on the Stock Option in order to open the Trade Ticket.

Page 5: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

4Saxo Capital Markets Pte Ltd | Tel: +65 6303 7788 | Web Site: www.saxomarkets.com.sg

6. The Trade Ticket window opens with key details to help you place a trade order.

Expiry: The date at which the option expires

Strike: The exercise price of the option

Call/Put:

Call: The right to buy the underlying stock, at a specified price and a specified date.

Put: The right to sell the underlying stock, at a specified price and a specified date.

Quantity: Number of contracts that you want to buy or sell.

Buy/Sell: a way to open a call or put position in option transactions.

Buy to Open: To place an option trade, where the option position is not held short in the account during the transaction.

Sell to Open: To place an option trade by selling or establishing a short position in an option.

Entry type: Select the order type (more informa-tion about types of orders on the next page)

Price: Choose the price you would like to buy or sell

Duration: The duration period of the order is valid for “Day Order”- the order will work until the end of the day.

Take Profit / Stop Loss: Place related limit or stop orders to your position

Exercise: The type of option is shown here. Ameri-can type options can be exercised any time prior to expiry whereas European type options can only be exercised at expiry.

Underlying: The underlying share of the options contract.

Contract size: The number of shares per options contract.

IMPORTANTImportant: Access to real time prices for stock options and the underlying stocks may require 2 different subscriptions. Note that for US stock options a subscription is also required to receive delayed data.

Page 6: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

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7. If your order has been executed, you will see the Trade confirmation below.

Page 7: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

6Saxo Capital Markets Pte Ltd | Tel: +65 6303 7788 | Web Site: www.saxomarkets.com.sg

ACCOUNT SUMMARY8. By clicking on Account > Account Summary, you can view the new position in the “Open Positions” section.

IMPORTANTYou can place orders related to the position opened, directly from your account.

Close the position

Click the Close Position icon to immediately close the position

Limit order Click to place related limit order

Stop order Click to place related stop order

Square positions Click to square positions

Exercise Option Click to exercise your Stock Option.

Click on the plus icon to view additional details.

Click to see position details.

Page 8: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

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PLACING STOCK OPTION ORDERS USING THE CONTRACT OPTIONS CHAIN

9. By clicking on Trading > Watchlists > Contract Options Chain you can view the Stock Options chain.

10. Enter the name or ticker of the target stock option into the “Instrument” field in order to view the Stock Options Chain for the particular instrument.

The Contract Options Chain module allows you to continuously monitor option prices. It consists of a grid of “Bid” and “Ask” option prices arranged by strike level and expiry date. Prices for “Put Options” for the selected contract are on the right hand side and prices for “Call Options” are on the left.

Expiry dates are shown along the top of the grid of prices. The expiry dates are fixed dates i.e. they do not move forward every day. You can use the scroll bar or arrow icon to expand sections to see additional dates.

Page 9: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

8Saxo Capital Markets Pte Ltd | Tel: +65 6303 7788 | Web Site: www.saxomarkets.com.sg

CHART MODULE11. In order to open the Chart module for the underlying stock, select Trading > New Chart. Select the underlying Stock of your choice.

To select an instrument use the “Instrument” field at the top left hand side of the module.

To find a strike price look at the centre of the screen.

Use the arrows at the centre of the module to scroll up and down between strike levels. To centre the board at the current at-the-money (ATM) strike level, click Reset (ATM) at the top of the module. Multiple strike prices may be displayed using the “Strikes” drop down menu.

To trade, click the price button for the strike and maturity you want. The Contract Options Trade module appears with all the information pre-populated. Verify the details and click Place Order.

Each row in the grid contains information and price buttons specific for that combination of strike level and maturity date. The prices update in real time. As markets move, prices at new strike levels will appear and become active. Market moves will result in some old strike levels periodically being removed, as they become either deeply in or deeply out-of-the-money.

PLACING STOCK OPTION ORDERS USING THE CONTRACT OPTIONS CHAIN

Page 11: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

10Saxo Capital Markets Pte Ltd | Tel: +65 6303 7788 | Web Site: www.saxomarkets.com.sg

RISK WARNING:You should carefully consider whether trading in leveraged products is appropriate for you based on your financial circumstances. You should be aware that dealing in products that are highly leveraged carry significantly greater risk than non-geared investments e.g. share trading. As such, you could gain and lose large amounts of money. You may sustain losses in excess of the monies you initially deposit to maintain any positions in leveraged products.

RISK DISCLOSURE:Trading risks are magnified by leverage – losses can exceed your deposits. Please consider our Risk Warning and General Business Terms before trading with us. Trade only after you have acknowledged and accepted the risks.

The information and materials provided here are only for general information and dissemination. None of the information contained here consti-tutes an offer (or solicitation of an offer) to buy or sell any currency, product or financial instrument, to make any investment, or to participate in any particular trading strategy.

Saxo Capital Markets does not take into account of your personal investment objectives, specific investment goals, specific needs or financial situation and makes no representation and assumes no liability to the accuracy or completeness of the information provided here. The informa-tion and commentaries are not intended to be and do not constitute financial advice, investment advice, trading advice or any other advice or recommendation of any sort offered or endorsed by Saxo Capital Markets. Any expression of opinion (which may be subject to change without notice) is personal to the author and the author makes no guarantee of any sort regarding accuracy or completeness of any information or analy-sis supplied. Although every endeavour has been made to ensure that our trading platforms are secure and reliable, please note that as with all facilities and systems, our trading platforms may be vulnerable to temporary disruption or failure. If you undertake transactions on an electronic trading system, you will be exposed to risks associated with systemic failure, i.e. failure of hardware and software.

Please refer to our Product Risk Categorization (http://sg.saxomarkets.com/Documents/legal/scm-product-risk-categorisation.pdf ). Stock Op-tions is categorized as a red product as it is considered an investment product with high complexity and high risk.

Page 12: TRADING STOCK OPTIONS ON THE - Saxo Bank · PDF fileTRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORM OPEN DEMO ACCOUNT OPEN LIVE Eq ACCOUNT 0 7 ... or email us at info@saxomarkets.com.sg

TRADING STOCK OPTIONS ON THE SAXOTRADER PLATFORMOPEN DEMO

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ARE YOU LOOKING FOR MORE PRODUCTS?

Speed. Execution. Range of instruments.

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CFD

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Forex180+ crosses

Stocks19,000+ Instruments

Stock Options200 Options

ETFs/ETCs2,500+ Instruments

Contract Options70 contracts

FX Options45 crosses

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CFDs7,000+ contracts

Futures200 contracts

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For more information you can contact us at +65 6303 7788or email us at [email protected]

Try a free demo account at www.saxomarkets.com.sg


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