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>> No.17917797 [View]
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17917797

>>17917504
I understand the underlying concept but don't understand how premiums or profit works

from what I understand options are supposed to have more "insurance". if your option expires, what exactly are you losing if it expires? i'm using questtrade and it says to buy (for example) a call for DIS at strike 90 expiring on the 20th, the attached pic is the cost. where the hell is the 3.10 coming from?

and what exactly determines how much you gain if you sell your call/put once it passes the strike

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