The choice to buy or sell depends on whether you are (expecting prices to rise), bearish (expecting prices to fall), or neutral . Strategy Name Market Outlook Risk / Reward Profile Buy Call Limited loss (premium paid); unlimited profit . Sell Call Short Call Bearish / Neutral
(premium received); high loss if stock falls. Basic Call and Put Options Strategies | Charles Schwab buy call sell put
: This is the price paid by the buyer to the seller (writer) for the rights granted by the option. The choice to buy or sell depends on
: Gives the buyer the right to buy a stock at a set "strike price" before a specific expiration date. Basic Call and Put Options Strategies | Charles
The four basic moves in options trading—buying calls, selling calls, buying puts, and selling puts—each represent a different market outlook and risk profile. Core Concepts of Calls and Puts