Part 12 Trading Master Class With Experts

Types of Options

There are two primary types:

1. Call Option (CE)

A call option gives the buyer the right to buy the asset at a predetermined price (strike price).

Buyers profit when the underlying price goes up.

Sellers profit when the price stays below the strike.

2. Put Option (PE)

A put option gives the buyer the right to sell the asset at the strike price.

Buyers profit when the underlying price goes down.

Sellers profit when price stays above the strike.