They can be used in either conservative or aggressive ways, but they all carry risks. How Do Stock Options Work? There are three basic terms that apply to all options: strike price, expiration ...

However, this does ... options can generate income. It's a more advanced maneuver, as call writers may be obligated to sell the stock. When people talk about options or options trading, they ...

Depending on how you think a stock might move, put options can help you make money ... to take an action on their website. However, this does not influence our evaluations. Our opinions are ...

However, many active options traders never plan to touch the underlying shares themselves. Instead, they buy and sell options – sometimes in various combinations known as "spreads" – with the ...

Stock options are leveraged instruments that derive their value from an underlying security, such as a stock. This makes them different from stocks, which are perpetual in nature and represent an ...

They may let the option expire if the stock's price never exceeds $85. But, if it does, the holder can exercise the option, and you'll lose out on potential gains. In either case, you get to keep ...

Several key terms are important to discussing and understanding how options work ... six weeks. They may let the option expire if the stock's price never exceeds $85. But, if it does, the holder ...

Index options are quite similar to typical options contracts, but they differ in several important ways: While the value of a typical options contract varies based on the price of a single ...

Options can serve investors in a number of ways. Speculators can use them to gain from movements in an underlying stock, whether upwards or downwards. They can ... not all do, so be sure to ...