Trading ETFs

Why More and More Traders to ETFs as a Preferred Trading Method

ETFs = Exchange Traded Funds. ETFs are a prominent and effective way to trade different indexes and sectors in the Stock Market. They trade very much like stocks, but just offer more diversity and cushion as apposed to an individual stock.

Below are some ETFs that have listed options:

• SLV – Silver Trust (iShares)
• GLD – Gold Shares (SPDRs)
• XLF – S&P 500 Financials (SPDRs)
• XRT – S&P 500 Retail (SPDRs)
• XHB – S&P 500 Homebuilders (SPDRs)
• XLE – S&P 500 Energy (SPDRs)
• OIH – Oil Services (Market Vectors)
• AGQ – Pro Shares Ultra Silver
• TNA – Small Cap Bull Shares 3x
• TZA – Small Cap Bull Shares 3x
• BGU – Large Cap Bull Shares 3x
• BGZ – Large Cap Bear Shares 3x
• ERX – Energy Bull Shares 3x
• EWZ – Brazil Index Fund
• RSX – Russia Index Fund
• IYR – US Real Estate Index Fund

All of these products are highly liquid for trading options and offer excellent diversification and the capability to invest in any industry in the world. The 3x funds are leveraged by 300% which offer higher exposure in certain markets.

Although all the above listed financial products are “optionable” securities you can still buy these funds just like you would purchase stock in a company. However considering the listed options on these ETFs are so heavily traded and have such tight bid/ask spreads that it makes it very attractive and favorable to trade the options.

If this type of trading makes sense to you fill out the form below to learn how you can build sustainable long-term wealth and produce consistent monthly income in the Stock Market with Exchange Traded Funds.