Interview Question: Thinking Like a Trader

Sample Question #187 (case question)

How would you trade options to make money consistently?

(Comment: this is a great question to test your understanding of how options work and what roles they play in an investor or trader’s toolbox)

(Hint: the keyword here is consistently)

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One Response to Interview Question: Thinking Like a Trader

  1. Brett says:

    ANSWER
     
    This is an open-ended question, although a simple-minded answer like "keep buying calls" may not leave a positive impression on the interviewer as such strategies are difficult to carry out for consistent profitability.
     
    Instead, think about writing covered calls and trading spreads.
     

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