Current location - Loan Platform Complete Network - Foreign exchange account opening - The difference between selling call options and buying put options.
The difference between selling call options and buying put options.
The difference between selling a call option and buying a put option mainly lies in different directions and different application scenarios. In the American trading market, the option market can generally be divided into two different forms, namely the buyer's market and the seller's market. If investors want to buy bullish, they need to wait for the market to rise in order to gain income; However, if investors want to sell put options, no matter whether the market rises or fluctuates, they can get some income.

What are options?

In the economic market, option refers to a special contract, which belongs to derivative financial instruments. The subject matter of options generally includes assets that investors choose to buy or sell, such as treasury bonds, commodity futures, currencies, stocks and stock indexes. However, it should be noted that option traders generally do not require whether they own the underlying assets, so investors can make short selling operations. When the option contract expires, both parties to the transaction do not necessarily need to deliver the subject matter in kind, but they can also choose to make up the money according to the actual price difference.