What happens if I buy a call option then sell it?

Question by answerman: What happens if I buy a call option then sell it? For example, say I buy a call option contract that is trading at 25 cents per share (25 dollars total). If the value of this option increases to 30 cents per share before expiration and I sell it, am I entirely [...]

How do you benefit from a price increase when you write a call option?

Question by James5: How do you benefit from a price increase when you write a call option? Studying, just hung up. I thought writing a call option gave you the obligation to sell the asset if the person holding the option exercised. nevermind, i looked at my notes wrong Best answer: Answer by FranklinIf you [...]

Stock Call Option question: What determines how many avg daily trades a Call option has?

Question by Bman: Stock Call Option question: What determines how many avg daily trades a Call option has? I thought it would be based on the avg daily volume of the stock – The higher the stocks volume, the higher the options volume. But I have compared the option volumes of some different stocks with [...]

When will I know if my covered call has been exercised on an option I sold 2 weeks ago? ?

Question by dadof2: When will I know if my covered call has been exercised on an option I sold 2 weeks ago? ? A couple of weeks ago I sold an option that was set to expire this month. It’s currently In-The-Money. It has not been called or exercised yet.. and the last day to [...]

Help with writing call options.?

Question by John E: Help with writing call options.? If I wrote a call option and then bought to close before it expires, what would happen? Best answer: Answer by smainCould you provide a little more detail. Are you looking to sell the options or honor the options? Give your answer to this question below!

Exercising or Selling a Call Option?

Question by : Exercising or Selling a Call Option? I have bought a call option but am confused as to whether I should exercise it or sell it. What is a good strategy to follow? Does one sell or exercise? Needless to say that I am new to the whole field of options trading. Any [...]

Explain how, as an average investor in stock, you might use an option call or put or otherwise use options to?

Question by skahhh: Explain how, as an average investor in stock, you might use an option call or put or otherwise use options to? buy or sell stock? Just use a ficticious company or a real one if you like. I just want to get the hang of it. It sounds like a …

How do I report the proceeds of the covered call option I recieve on my tax return?

Question by BUTCHRPHMD: How do I report the proceeds of the covered call option I recieve on my tax return? I sell covered call option on a stock I owned and paid according to the market price. How do I report the proceed in my income tax return? Thanks. Best answer: Answer by spicertaxReport it [...]

buying a call option to open and then selling it to close are you still be obligated to provide the shares?

Question by cmac: buying a call option to open and then selling it to close are you still be obligated to provide the shares? Say I bought 10 contracts at .00 and sold at .00 to close because I sold the option I bought from someone else am I still liable to provide the stock [...]

What happens if you buy call option that is already in the money?

Question by : What happens if you buy call option that is already in the money? Say the strike price of a call option for the underlying stock ABC is .00, and currently its price is .00, I know we can’t sell that option until it hits .00. But what if the strike price is [...]

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