Investing General Discussion

Sanrith Descartes

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Today's option volume after 12 minutes...

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Big Phoenix

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If only the few of who lost a few bucks on AMC a few months ago had diamond hands. We could have doubled our investment!
 
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Tmac

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12,000 calls at a $50 strike? Holy shit, lol. Is that going to squeeze it up at all or are those people fucked?
 
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swayze22

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What’s the diff between a $30 call and put?

I was under the impression that puts assumed a decrease in price. So, if the stock is $25, how can you sell a put that’s a higher price?
EDIT - just go read Blazin Blazin option thread first page.

ELI5

If you are buying them-

call you make money when the price is above your strike (+cost).

put you make money when the price is below your strike (+cost).
 
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Sanrith Descartes

Veteran of a thousand threadban wars
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I was under the impression that puts assumed a decrease in price. So, if the stock is $25, how can you sell a put that’s a higher price?
Short answer is you dont have to hold it to expiration. You can make money on the price movements as it moves toward/deeper into the money (and vice versa) and close it to realize the gain.
 

Sanrith Descartes

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NVDA less than 1% from new 52 high. Why every company doesnt announce a stock split every year is beyond me.
 

Tmac

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Toward the money being the call and deeper being the put?

So, when they calls and puts are both above the current price, is that a good sign it’s going to go up in relation to those prices?

Like if the lowest put is $30, the lowest call is $35, and the stock is at $25 is that a sign to buy at $25 with a plan to get out after some gains?