Buying Versus Selling Options
Manage episode 484057245 series 3636603
This episode explains the fundamental differences between buying and selling options, outlining the rights of the buyer and the obligations of the seller for both call and put contracts. It clarifies how buyers pay a debit for a right and sellers receive a credit for an obligation, impacting potential profit and risk. The hosts also differentiate between trading with cash and trading with margin, noting that cash is typically required for long positions and in retirement accounts, while margin is more common for short positions and allows for borrowing to cover a portion of potential risk.
We help retail traders set up automated options trading to grow their accounts.
This is YOUR automated options trading education!
On this podcast you will find tips, tricks, and guides on how to grow your auto trading account with low-risk per-trade option spreads strategies.
We will show you what you need to know and what actions you need to take.
We'll also show you how to make the right investment decisions for your automated trading account!
If this sounds like something that could interest you then make sure to subscribe to the podcast now!
DISCLAIMER:
The content on this channel is for educational purposes only. Advanced Autotrades IS NOT AN INVESTMENT ADVISOR OR REGISTERED BROKER. Neither Advanced AutoTrades nor any of its owners or employees is registered as a securities broker-dealer, broker, investment advisor (IA), or IA representative with the U.S. Securities and Exchange Commission or any state securities regulatory.
19 episodes