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Options trading are gaining a great traffic in recent years, as curious investors are deeply putting their toes to make huge sum of money in short time. Advertisement, infomercials etc. featuring on the web, alluring ordinary people, with no training to have made fortunes overnight. Both “Call” and “Put” options in this trading define different market positions to make the decision on underlying asset. A “Call” option permit the investors to buy shares of an underlying asset at a definite price level by a definite date, simply represent “uptrend”. Whilst, a “Put” option permit the investor to sell a certain underlying asset’s shares at a certain price level by a sure date, simply represent “downtrend”. In order to know the risk and rewards of both these position, you need to invest sometime in learning it.
Shorting ATM put of course!!
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