Option Buyers vs. Sellers
Buyers have limited risk (only the premium paid) but unlimited profit potential.
Sellers (writers) have limited profit (the premium received) but potentially unlimited loss, especially in uncovered positions.
Leverage and Capital Efficiency
Options allow traders to control large positions with a small investment. This leverage magnifies both profits and losses, making options powerful but risky tools for speculation or hedging.
Buyers have limited risk (only the premium paid) but unlimited profit potential.
Sellers (writers) have limited profit (the premium received) but potentially unlimited loss, especially in uncovered positions.
Leverage and Capital Efficiency
Options allow traders to control large positions with a small investment. This leverage magnifies both profits and losses, making options powerful but risky tools for speculation or hedging.
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Contact : +91 7678446896
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Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Hello Everyone! 👋
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.