Selling put options can be an attractive strategy to generate a nice premium, but you have to be able to withstand the risks. When you sell a put, you’re agreeing to purchase the stock at the ...
A covered call is a trading strategy where you sell (or write) a call option on a stock you already own. If the stock price increases above the call option's strike, the buyer can execute the ...
when a trader sells to open a call option (a "short call"), it's a bet the stock will stay at or below the strike price through expiration. In other words, this premium-selling strategy reveals ...