Could someone explain, IN ENGLISH, what stock options are?

<<<Could someone explain, IN ENGLISH, what stock options are?>>>

For a good, simple English explanation of what options are I suggest you go to

http://www.cboe.com/LearnCenter/Tutorials.aspx

and take the "Options Overview" free tutorial. That will do a far better job of explaining what an option is and some of the basic terms used when discussing options. Until you understand those terms it is almost impossible to follow any discussion about options, including the answer I am about to give to the rest of your question.

<<<Give me an example of Spread/Straddle/Strangle or Single order.>>>

A spread is a combination of "a long market position and an offsetting short market position" according to the glossary in the book "Option

Volatility & Pricing" by Sheldon Natenberg. (Other people have slightly different definitions.)

A "long market position" is something that you bought. For example, I could buy a January $50.00 call option on XYZ stock. A "short market position" is something you sold even though you did not own it. For example, I could sell a January $55.00 call option on XYZ stock.

Two positions are offsetting if one of them is expected to increase in value if the stock price goes up and the other is expected to increase in value if the stock price goes down.

An example of a spread would be to buy a January $50.00 call option on XYZ stock and sell a January $55.00 call option on XYZ stock.

A "straddle" is a combination of a call option and a put option, where both options have the same underlying, strike price and expiration. If both of the optons are purchansed it is called a "long straddle" and if both of the options are sold it is called a "short straddle." An example of a straddle would be to buy a January $50 call option on XYZ stock and to buy a January $50 put option on XYZ stock.

A "strangle" is the same as a straddle except that the call and put options have different strike prices. An example of a strangle would be to buy a January $50 call option on XYZ stock and to buy a January $40 put option on XYZ stock.

A "single" simply means a single position, such as a January $50 call option on XYZ stock.

An "order" is an order you give to your brokerage to make a trade in your account. In the order you wpecify what you want to trade, if you want to buy or sell, how many you want to trade, and any qualifiers your are putting on the order, such as

the maximum price you will pay or

the amount of time to leave the order in place before cancelling it if it is not filled.

An example of a "single order" would be

"Buy 4 January $50 call options on XYZ stock for $0.50 per share or less and cancel the order if it is not filled by the end of the day."

In a "multiple order" (usually called a "spread order" or a "combo order") you give a single price for making multiple trades.

An example of a spread order would be

"Buy 4 January $50 call options on XYZ stock and sell 4 January $55 calls for a net debit of $0.25 per share or less and cancel the order if it is not filled by the end of the day."

An example of a straddle order would be

"Buy 4 January $50 call options on XYZ stock and buy 4 January $50 puts for a net debit of $5.50 per share or less and cancel the order if it is not filled by the end of the day."

An example of a strangle order would be

"Buy 4 January $50 call options on XYZ stock and buy 4 January $40 puts for a net debit of $1.35 per share or less and cancel the order if it is not filled by the end of the day."

There are two kinds of options: puts and calls. If you think a stock will rise you buy a call which is like buying that portion of a stock's value that exceeds the 'strike price' of the call. For example, you buy a $45 call on a $ 50 stock, so it is worth $ 5 per share. If the stock goes to $60 it is worth $ 10.

A put is the opposite. If you bought a $ 45 put it has no intrinsic value, but if the stock drops to $ 40 you will make $ 5.00 per share.

If either a put or a call expires out of the money, you lose whatever you paid for it.

A spread would be illustrated by buying a $40 call and selling a $ 50 call when the stock is trading at $45. It limits both your potential profit and your potential loss.

Use Google for information on Option spreads and straddles, etc.

You can make money in binary options only if you treat it as a real form of investing. Learn here https://tr.im/Mrnwm

This means learning how it works, learning how to read charts and learning how you can make accurate predictions. All these are not that difficult but it takes some time. If you treat it as gambling and just make random predictions then you will obviously not win.

people who buy a share in a company

people who spend more at the shops, the more money the shops make

the shops realise 'OH were getting a lot selling for this product so we gotta buy more' the get more from the company who makes that product

and the company that makes that product need to buy the materials to make that product

and so forth it eventually gos to the stock market.

basically the more money spent the stock market rises

the less money spent means the stock market gos down