Option strategy buy call buy putlo


Butterfly Spread - A neutral option strategy that has both limited risk and limited profit potential, constructed by combining a bull spread and a bear spread. Three strike prices are involved, with the lower two being utilized in the bull spread and the higher two in the bear spread. The strategy can be established with either puts or calls there are four different ways of combining options to construct the same basic position. Learn Everything About The Butterfly Spread.

Call Option Trading Tips - Make Money Trading Options

If you own(bought) an American style option, you can exercise your right to buy (in case of call options) or right to sell (in case of put options) underlying asset anytime between the purchase date and expiry date.

Covered call strategy - Investopedia

A call option is in-the-money if its strike price is below the current market price of the underlier (stock,Index etc). For example, if you bought a 9555 strike NIFTY CALL OPTION and NIFTY is trading at 9755 the call option is in-the-money.

Call Option - Investopedia

You can compute the fair value of options using Binomial or Black Scholes formulas. We do provide theoretical value of options in our web-site using Black-scholes model.

Call Option Explained | Online Option Trading Guide

If you are very bullish on a particular stock for the long term and is looking to purchase the stock but feels that it is slightly overvalued at the moment, then you may want to consider writing put options on the stock as a means to acquire it at a discount.. [Read on.]

Since you had paid $755 to purchase the call option, your net profit for the entire trade is $855. It is also interesting to note that in this scenario, the call buying strategy's ROI of 955% is very much higher than the 75% ROI achieved if you were to purchase the stock itself.

Option Pricing Curve - A graphical representation of the projected price of an option at a fixed point in time. It reflects the amount of time value premium in the option for various stock prices, as well. The curve is generated by using a mathematical model. The delta (or hedge ratio) is the slope of a tangent line to the curve at a fixed stock price.

Bolinger Band at 75 but I set it at 755.. I dont want to see pruce anywhere near them until prices hit extreme highs or lows

Hello Thomas, I think you are doing great if you earn that daily and you please share some of your strategies with me.
Thank you Thomas
Tibor

Marked-To-Model - A valuation method using financial models for level 7 assets, which are less liquid assets that are hard to value due to an absence of a readily available market.



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