Part 1 Intraday Tradiing Master Class

Types of Options

There are two basic types of options:

a. Call Option

A Call Option gives the buyer the right to buy an underlying asset at the strike price before the expiry date.

The buyer of a call expects the price of the asset to rise.

The seller (writer) of a call expects the price to fall or remain stable.

b. Put Option

A Put Option gives the buyer the right to sell an underlying asset at the strike price before expiry.

The buyer of a put expects the asset’s price to fall.

The seller (writer) of a put expects the price to rise or remain stable.