At the core of options trading, there are for types of positions you can hold. All other positions are variations and combinations of these four fundamentals.
Buying a call option
Selling a call option
Buying a put option
Selling a put option
In this article we will break down key elements of the four positions above and cover a few powerful and popular variations.
Prefer watching to reading? Check out the video at the bottom of this post.
The Four Types of Options Trades
1. Buying a Call Option
You are bullish, you think the price will go up.
