5 ms·
Interesting position. I like it. It took me a bit of time to realize you can make money “out of the money” with options.
by brendawalsh 6y ago
Interesting position. I like it.
It took me a bit of time to realize you can make money “out of the money” with options.
- marketgod 6y agoWith options you make more money selling the option before expiry so the out of the money will have more theta value so you will likely get paid more. Also if theta is higher and the cost of the contract is low, you are getting more for premium (extrinsic) versus intrinsic value.