Im a little confused about call options. If I wanted to buy ...
Im a little confused about call options. If I wanted to buy 10 call options on a stock currently valued at $1150 with a strike price of $1400 how much could I net?
TaMA_ChaN
:
If you buy 10 call options at $1,150 and even if it reaches $1,150.01 (and you wish to exercise it) You need to have $11,500,000 cash to buy it because ONE Call option is 100 shares. Wish you good luck.
TaMA_ChaN
TaMA_ChaN
:
If you dont wish to exercise it and sell off, (Currently market value - $1,150 = x1,000) - fees That would be your net profit (given the above value you looking at would be $250,000)
Hu Leo : Depending on the price of the option you bought, do you think you will make money if the execution price is low?![undefined [undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36)
TaMA_ChaN : If you buy 10 call options at $1,150 and even if it reaches $1,150.01 (and you wish to exercise it)
You need to have $11,500,000 cash to buy it because ONE Call option is 100 shares.
Wish you good luck.
TaMA_ChaN TaMA_ChaN : If you dont wish to exercise it and sell off,
(Currently market value - $1,150 = x1,000) - fees
That would be your net profit (given the above value you looking at would be $250,000)
我是Niubi TaMA_ChaN : it's $1,150,000.![undefined [undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36)
Wilson_wu OP Hu Leo :![undefined [undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36)
![undefined [undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36)
Wilson_wu OP TaMA_ChaN : thx for your advice bro~~