1. Home
  2. Flashcards
  3. Preview

pete

  1. what is a option
    it is a contract that gives the buyer the right to buy or sell a stock at a specific price ( strike price) on or before a specific date in exchange for a premium.
  2. 1 standerd option controls
    controls 100 shares
  3. call option
    the right to buy. bullish. profit when stock is going up. increase in value when the stock price goes up
  4. put option
    the right to sell. bearish. profit when stock is going down. increase in value when the stock price goes down.
  5. Ask price
    buying price
  6. Bid price
    selling price
Author
pete
ID
35510
Card Set
pete
Description
options trading (intro)
Updated

  1. Home
  2. Flashcards
  3. Preview