What is meant by Future and Options in the World of stock market?

[AnjaliPC]

Futures and Option, what is it?
How to trade in F n O?

[Kaos]

Option trading is something I used to do quite often. I have never traded futures so I won't discuss that. When trading options you are betting on contracts which have expiration dates on whether it will go up or "short" the option, betting it will go down. I preferred trading option because it seemed like less risk when you have a month or so to close out the trade. That could just be my skewed view of options, that they are less risky. As you know everything is risky, its all on how you handle your trading.

[popowich]

I deal in stocks and funds, and have a margin account so I'm allowed to sell short (I don't use it for the credit, at least very rarely, less than once every 2yrs), but I never have traded options though I hear about them all the time.

I gathered these links from fool.com, it's a service that I use to guide many of my stock purchase decisions:

Options for Beginners (http://www.fool.com/investing/options/2007/04/24/a-foolish-introduction-to-options.aspx?source=ifltnvsnv0000001)

Why futures markets are important (http://www.fool.com/personal-finance/retirement/2006/10/25/why-futures-markets-are-important.aspx?terms=futures&vstest=search_042607_linkdefault)

-Raymond