Basically a call is purchasing a bunch of shares at a lower price and betting they will go up && puts are to opposite of that.
When you buy a call you can only loose what you bought, so, if you pay 1$ for 100 shares (every option you buy will be in sets of 100) then the gains you can make, theoretically, are infinite as long as it goes up not down. With calls you are better the stock will go up.
Puts; this is why they are dangerous, puts are betting the market will go down, but, if it goes up you can, theoretically, loose infinite money.
You can only sell when your options hit the strike price or higher/lower than sed strike price.
Don't bet on puts unless you know what you are doing man, You can ruin your life. I am new too and I only have dividends. I will make more than enough from the dividends aone. At least enough to keep generating passive income ontop of my savings and job. Be smart don't be stupid.
I do plan on placing some calls in the future if I Can wrangle up the cash.
Lol, you think -1 is scary after all the site we just saw in the last month? We broke records for 4 solid days in a row in many different faucets.
In the morning after the jobs report at 8:30, we'll see!
Blake Brown
Return to normal. Cramer and CNBC were using the n word all day
Parker Davis
Tomorrow: >Jobless numbers >1000 coronadeaths in America >America takes title of "most cases" >Trump says something stupid
Hudson King
It's over. people are talking general strike and rent strikes. We can finally bury capitalism. fuck bougy scum and fuck landlords. REVOLUTION NOW!!!!!!!!!!!
>DOW will go to 80,000 by May and 10,000 by July based
Liam Gray
The unemployment numbers and the corona cases tomorrow will pull everyone back to reality that we're heading into a recession.
Caleb Rodriguez
Walt what? In a buy put you can only lose your equity not more. Sell puts idk about
Landon Johnson
I’m just hijacking this post to tell you guys I’ve never gotten more (you)’s than pretending to be a landlord and dabbing on leftists. You can literally derail entire threads by yourself. It’s hilarious
Andrew Adams
Calls and puts are contracts, not actual shares. You don't know what you're talking about. Please research before spreading false information. Thanks.
Luke Cox
Kek nicely done
Colton Torres
based and also coincidentally priced in
Owen Flores
>this post is extremely low quality >this post is off topic >this user is underage such a hard choice
Evan Torres
(you)'s are definitely priced in.
Julian Morris
I don’t respect women, bros
Jackson Baker
This. Nothing worse than someone talking out of their ass when they dont actually know anything
Elijah King
Swing trade the S&P with or without leverage. No leverage: >SPY (long) 3x leverage >SPXL for 3x (long) >SPXS for 3x (short).
Yeah I thought so too. Possibly still returning to normal but I'm expecting an absolute bloodbath next week. Should I get back into TVIX pre hours tonight, tomorrow or Friday right before closing?
Ryan Sanders
YOURE PRICED IN
Julian Ward
delusion.
Austin Lee
Based&pricedin.
Liam Rodriguez
That's nit picking. The point of what I said makes sense. This is the /smg/ equivalent of huffing your own farts and correcting people on minute gramatical errors.
What is wrong about what I said? That is literally what you are doing. You are bying 100 shares of a stock and then selling it for that price when it goes up, if, it goes up/down. That's the "contract"
The job report, it isn't priced in yet, unironically the stimulus is.
Jack Walker
Trump getting the virus, maybe.
Zachary Diaz
if that's a boy he can fuck me in the ass all day not even gay
Jayden Howard
>SPY 161 4/17p Bold, user...
Brody Cruz
already priced in
Elijah Cooper
X dies of coronavirus, feel free to fill X in yourself >Morgan Freeman dies of corona >Fauci dies of corona >Trump dies of corona (nvm that would be bullish)
Tyler Edwards
Shes ugly dude
Jackson Barnes
Things are going to get spicy when America hits 100,000 cases on Saturday.
Parker Sanders
what are your guys favorite $1 options right now? i saw some in xerox today but when i tried to buy them for $1 the price instantly went up to $48 despite there was no buyers (i even got the robinhood warning saying i was the only buyer) wtf is that shit?
Jace Hill
Do not buy this "dip." Do not trust this "rally." It has been priced in.
They all swarm at you like angry bees with the most obvious bullshit bait. I don’t know how they make it through each day without dying of a heart attack
Calls are the right to buy the contract (100 shares) for the strike price. Puts are the right to sell the contract for the strike price. Buying a call is buying the right, selling the call is selling the right. I advise you to only buy options as selling as no limit for loss. These are not obligations as you can exercise when buying or be exercised when selling.
yeah it was probably dumb but it was the only SPY put i could afford at the time. i got $600 tied up in groceries, im hoping it pays off in a couple months
A terrorist attack tomorrow isn't priced in. There probably won't be one, but you know, there might. If you were a durka seeking mass casualties it would be a great time to bomb a hospital. The FBI just stopped a Natsoc trying to do the same thing. Or an earthquake, there could always be a massive earthquake in Japan at pretty much any time.
California fighting the inevitable fires while still under lockdown will be interesting to watch.
You are paying a premium for the RIGHT but not the OBLIGATION to but 100 shares of stock at the strike price. If the price does not reach the strike price it will expire worthless and you will have only lost the premium
