Option Trading Explained
Options are financial derivatives that provide the right, but not the obligation, to buy or sell an underlying asset at a predetermined price within a specific period.
Types of Options:
Call Option: Right to buy the underlying asset.
Put Option: Right to sell the underlying asset.
Components of an Option Contract:
Strike Price: The agreed price to buy/sell.
Premium: Price paid to acquire the option.
Expiration Date: Date when the option contract ends.
Option Trading Strategies:
Buying Calls/Puts: Simple directional bets.
Covered Call: Holding stock while selling a call option to generate income.
Protective Put: Buying a put option to hedge a long stock position.
Spreads: Combining options to limit risk and cost.
Hello Everyone! 👋
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Hello Everyone! 👋
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.