Sell Call Buy Put Strategy at Buying

Sell Call Buy Put Strategy. That’s where you make money. Selling covered calls to earn a regular premium.

When you’re buying a call, you want the stock to go up. 6.3 3) the short call. Obligations (assuming no exit strategy intervention) sell stock if share price moves above the call strike;

Conceptual Marketing Corporation ANALYSIS INFORMATION

The risk is to the downside only. When running a calendar spread with puts, you’re selling and buying a put with the same strike price, but the put you buy will have a later expiration date than the put you sell. Call buying and put selling are both considered bullish strategies, since they're based on the belief that the underlying stock will remain strong through expiration. Therefore, you bet by limiting your risk to the option premium and play for the downside in the stock.