I am a trader and I am an proud option seller. Most of my trades are in options. As I am very active in selling as well as buying of the options, I seek to sell or but the far out of the money strike of a stock or an index.
But not all brokers allow that, many brokers restricts the clients to trade on the far out of the money options because of the low liquidity in those strikes but the far out of the money(OTM) options can be proved to be the safest options as compared to the in the money(ITM) or at the money(ATM) option strikes.
Why do brokers restricts trading in far OTM options
Brokers want to protect their client from the loses, if there is less liquidity at a strike price and the client trades on it he can get stuck with it and may even cause the loss and hence the brokers restricts trading in that strike price.
Which broker allows trading far out of the money options?
There are many brokers that gives the flexibility of trading far otm options , Swastika just trade or its product Tradingbells is one of them , it is a broker that I personally uses. I am a option trader and many time based on the strategies I choose to trade on a particular index or trade requires to trade on the far out of the money option and as the swastika/Tradingbells allows trading in them this just makes it easier to work within the strategy.
Can I get a referral of it
Yes, surely. Anyone a member of the swastika just trade can send his referral to join the broker , as I am also a member I do have a referral link for the same. If you are interested to join the broker you can CLICK HERE for the referral link.
Note: Tradingbells has now collaborated with the indiainfoline as well and one can signup in it as well.
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