Watching this bounce closely
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Successful investing is about managing risk, not avoiding it. DYODD
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Lu Loh : Selling options seems safer than buying options
101808347 : All out ?
Cow Moo-neyOP Lu Loh: The chances of winning are high, but you need enough cash to prevent an assignment
Lu Loh Cow Moo-neyOP: you
Congratulations to Fa Cai
Lu Loh Cow Moo-neyOP: Is the profit and loss of selling an option the same as buying an option?
Cow Moo-neyOP Lu Loh: It's not the same. The risk of selling an option is that if you are forced to buy a stock, there is a possibility that the stock will return to zero.
One option contract is equal to 100 shares. For example, you are now forced to buy 100 Tesla shares. If one day it goes back to zero, you will lose a lot. Although in theory, leading giants such as Apple, Microsoft, and others don't seem to return to zero, nothing is 100%.
Lu Loh Cow Moo-neyOP: Thanks for sharing
Cow Moo-neyOP Lu Loh: You're welcome