: The "deadline" for the contract. Unlike stocks, options do not last forever; they expire on a specific date. 2. Buying Options (Going "Long")
The Complete Guide to Buying and Selling Calls and Puts Options trading provides flexibility beyond simple stock ownership, allowing you to profit from upward, downward, and even sideways market movements. This guide breaks down the four essential moves every trader must master: buying calls, buying puts, selling calls, and selling puts. 1. The Core Building Blocks buying and selling calls and puts
When you buy an option, you have the , but not the obligation , to trade the stock. Long Call (Bullish) Goal : You expect the stock price to rise . Right : You can buy the stock at the strike price. Risk : Limited to the premium paid. : The "deadline" for the contract
: One standard equity option contract typically controls 100 shares of the underlying stock. Buying Options (Going "Long") The Complete Guide to