AlphaWolf01
OP
Bawlz09
:
I understand the concern but personally I dont play options cause I do not have sufficient funds to do so and I dont mess with what I dont know.
Bawlz09
:
I understand, I don't have much left either.. but if u own 100 shares. you call sell a call against ur shares.. so like if u paid 35 for 100 shares each . that's 3500 .. then if u sell a call against ur shares.. and chose a strike price of 35 or higher.. or depending on what the price is of the stock at the time - well then you get a credit "it's called a premium" - u get to keep that. no matter what, & if the stock price doesn't go above ur break even price of the call option u sold. or at least above or near the strike price you chose. . then u keep ur shares and the premium .. but if it does go above the price of stock. then you still keep premium and u get the (x) amount for ur shares also.. so like a $36 call strike price sold . = just like selling ur 100 shares for $36 and u get the bonus premium ..
if that made sense lol. sorry was in a hurry and just giving u a tip is all. take care and good luck
Bawlz09 : hope u sold calls or bought puts mate to help hedge at any point.
AlphaWolf01 OP Bawlz09 : I understand the concern but personally I dont play options cause I do not have sufficient funds to do so and I dont mess with what I dont know.
Bawlz09 : I understand, I don't have much left either.. but if u own 100 shares. you call sell a call against ur shares.. so like if u paid 35 for 100 shares each . that's 3500 .. then if u sell a call against ur shares.. and chose a strike price of 35 or higher.. or depending on what the price is of the stock at the time - well then you get a credit "it's called a premium" - u get to keep that. no matter what, & if the stock price doesn't go above ur break even price of the call option u sold. or at least above or near the strike price you chose. . then u keep ur shares and the premium .. but if it does go above the price of stock. then you still keep premium and u get the (x) amount for ur shares also.. so like a $36 call strike price sold . = just like selling ur 100 shares for $36 and u get the bonus premium ..
if that made sense lol. sorry was in a hurry and just giving u a tip is all. take care and good luck