An investor would sell a put option if their outlook on the underlying was bullish and would sell a call option if their ...

Option pricing is calculated using the Black-Scholes model, which takes four influential factors into account: the price of an underlying stock (assuming constant drift and volatility), an option’s ...

In the financial world, options come in one of two flavors: calls and puts. The way that calls and puts function is actually ...

Conversion arbitrage is a risk-neutral strategy in options trading that exploits pricing inefficiencies in calls and puts. Learn how it uses put-call parity to uncover profit opportunities.

Alibaba stock surged 29% since my last article, partially due to the release of Qwen2.5-Max, an AI model outperforming GPT-4o and DeepSeek in key metrics. My previous Buy rating was partially based on ...

Today, a large volume of out-of-the-money (OTM) call options in Tesla, Inc. (TSLA) highlights the underlying value of TSLA stock. We recently wrote in a Barchart article that TSLA could be worth over ...

What is a call option, anyway? A call option gives the buyer the right but not the obligation to purchase an asset (in this case, Bitcoin) at a predetermined price before a specific date. If the ...

An option price is the value of an option contract. The option price is determined by the extrinsic and intrinsic value of the option contract. Options are contracts that allow investors to buy or ...