Submitted by silverwind18 t3_1267jql in wallstreetbets
BJaysRock t1_je8hnhi wrote
I’m not as regarded as you.
Question about calls. Am I only able to lose the premium I pay to buy the calls. If I buy 1 at .10, then I can only lose the 100 x .10 or $10 right?
maroonmagic2 t1_je8jc5e wrote
Yes
brianleach11 t1_je9qk15 wrote
Bingo
atl_fun t1_jeaoqq5 wrote
How do I avoid that trap where I lose an infinite amount of money? Is it even lost if I don’t exercise by expiry?
Whythehellnot_wecan t1_jeap7gy wrote
Unless you really really really lied to your broker you don’t have access to place those trades. Naked shorts.
EngimaticDepths t1_jed080s wrote
Right, you only lose what you pay for the options.
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