Selling Call Options

Selling Call Options is in general not the first trade an investor makes. It is contrary trade of buying calls. A trader that buys a call option expect the underlying to increase in price. Typically a trader select options which have a high Implied Volatility. These options are rich on premium. A trader that is selling call options receives option premium. […]

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How to sells calls and puts

Traders sell calls and puts depending of their assumption. They will receive option premium upfront by selling options. In this yield-seeking environment, selling options is a strategy designed to generate current income. We sell options with high implied volatility. We want the option to expire worthless or we buy them back when they are much cheaper. If you the options […]

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The ABC of selling Options

Learn the ABC of selling options. Investors who trade options has to make many decisions like buying or selling options. Which strategy is best considering the market. What is investors assumption about the stock. If an investor is bullish, she can sell a put, whereas if she is bearish, may sell a call. There are many reasons to choose each […]

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