/biz/ - Business & Finance

>>19182901
I was trying to limit sell during that huge wallbreak and I couldn't get it in time at .75, literally dipped every single time I entered my order
ended up way lower then I could have but I still made several hundred off it

>>19190272
anon I know people ask about options shit constantly but I have been curious on this
when you "go short" on an option I'm guessing that is a option sell
So this is when you "create" the contract right? if someone were to buy your contract and then exercise it do you have to pay to fulfill that obligation?
And by performing a "covered" call is this strategy useful because you can anticipate the stocks will go up, so you buy your cover stocks at that cheap level as leverage if someone were to exercise the option?

still trying to understand how people make money by "selling" a option, I know its preferred by some traders

so I dont really understand
if you wanted to trade call options, why not buy just barely OTM and then wait for it to go up?
If it is already going up and you meet the strike price, wont it be preferable to have the strike as low as possible on a call so you can buy the stocks cheaper?

what is the advantage of buying deep OTM?
>stock is $10, buy 1 call for $30
>it hits $32
>you make $2x100 off it
vs
>stock is $10, buy 1 call for $12
>it hits $32
>you make $20x100 off it
am I overthinking this?