January 13, 2009
How does trading stock options work?
cornacopia16 asked:
For instance, can I simply trade the contract cost without ever having an obligation to the shares? For instance, let’s say I buy a call contract at $2.50 ($250.00) and the next day the stock rises and the same call contract is worth $2.55 ($255.00). Would I be able to sale the same call contact for the $2.55 with no other obligations even before the expiration? Does it also work that way with put options?
Thank you
For instance, can I simply trade the contract cost without ever having an obligation to the shares? For instance, let’s say I buy a call contract at $2.50 ($250.00) and the next day the stock rises and the same call contract is worth $2.55 ($255.00). Would I be able to sale the same call contact for the $2.55 with no other obligations even before the expiration? Does it also work that way with put options?
Thank you
Filed under Investing by Administrator
November 2, 2008
when trading put options, is sell to open the same as writing put options? or is it short selling?
Teddy K asked:
I need a little help with options. What is a good website that teaches options?
I need a little help with options. What is a good website that teaches options?
Filed under Investing by Administrator