Tag Archives : Naked Put

What do you understand by Covered Call?

What do you understand by Covered Call?

A covered call is referred to as that financial market transaction in which the corresponding amount of the underlying instrument is owned by the seller of call options, such as shares of a stock or other securities. The strategy is often referred to as a “buy-write” strategy, if the trader buys the underlying instrument at the same time as he…

Put Option: An Introduction to Put Option

Put Option: An Introduction to Put Option

A put option which is sometimes simply call as put is a name given to a financial contract between two parties, the seller (writer) and the buyer of the option. a short position has been acquired by the buyer and it is there right, but not obligation, to sell the underlying instrument at an agreed-upon price (the strike price). If the right has been exercised by…

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