Put Option Explained
Put Option Explained The put option may be used to protect a stock portfolio from losses, to profit from falling prices with limited trading risk, or to buy stock at below market prices. The buyer of a put option has the right, but not the obligation, to sell their stock at the pre-defined strike price prior to the option’s expiration.
Covered Call Options Trade Explained
Covered Call Explained If you own stock, it is worth learning about the covered call option strategy because if you understand how it really works you can enhance the long term performance of your portfolio while also reducing your portfolio’s volatility. The covered call is widely considered to be a conservative options strategy well suited for the long-term stock investor.
Call Option Explained
Call Option Explained A Call option provides the buyer with the right, but not the obligation, to buy the underlying security at the strike price. Call options can be used in a variety of ways. The purpose of this article is to introduce you to some of the basic uses of a call option and how they can be used