Then, if the stock does in fact increase to $50 per share, the investor could turn around and sell it for $50, making a profit of $10, less the cost of the option, referred to as the "premium." ...

called a premium, and expiration date. A call option is profitable when the strike price is below the stock's market price since the trader can buy the stock at a lower price. A put option is ...

JEPI has a high dividend yield with monthly payouts, but this ETF can be fairly complex. Here's what you need to know before ...

and you will receive the option premium by selling it. The goal of owning a strangle is to profit from a large price movement in either direction of the underlying stock, index or commodity.

You’d be paid an option premium right away, then later if the buyer chooses to exercise the option, you would have to either sell them the stock at the agreed-upon price or “roll up” the ...

In options trading, the extrinsic value of an option represents the portion of the option’s price that’s based on factors ...

If the stock price stays flat or declines, the option will remain below the strike price and expire worthless, allowing the investor to pocket the premium and mitigate some of the loss in the ...

Even though the value of stock options is based upon the price of the underlying equity, there are several other factors in play that can influence the premium of your contracts.

The ETF generates its income with an options strategy ... The JP Morgan Nasdaq Equity Premium Income ETF is an actively ...

This means that if the price of the stock falls, the options would expire worthless and the investor who wrote the call would get to pocket the premium. If, however, the stock in question did go ...

Amazon (AMZN) stock bounced nicely off the 50-day moving ... The sold put brings in around $425 in option premium, and the ...

Spotify Technology (SPOT) stock is rising ahead of expected earnings for Q3. Last quarter Spotify produced strong free cash ...