Study Guide for Come Into My Trading Room - Forex Factory

62 QUESTIONS
Question 66—Options
Which of the following statements about option writing are correct?
1. Money management is the key requirement for writing options.
2. Writing naked options leads to limited reward with unlimited risk.
3. It is better to write puts when you are bullish.
4. A writer must wait for the expiration date to take profits.
5. Time is the enemy of the option writer.
A. 1
B. 1 and 2
C. 1, 2, and 3
D. 1, 2, 3, and 4
E. All of the above
Question 67—Futures
Match the following phrases regarding futures:
1. Taking a position in futures opposite to one’s position in the actual
commodity
2. The main source of risk in futures
3. Nearby months selling for more than faraway months
4. Industrial producers and consumers
5. Severe weather in production areas
A. Inverted market
B. Inside information
C. Supply-driven market
D. Hedging
E. Low margin requirements