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Selling Calls?????

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  #11  
Old 7th June 2007, 02:52 PM
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Default Re: Selling Calls?????

pls explain selling puts or calls with an example.....and how much margin gets blocked that also doubt is there
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  #12  
Old 7th June 2007, 09:47 PM
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Default Re: Selling Calls?????

Quote:
Originally Posted by kindman View Post
Ha Ha Selling Put Is Risky...

It Need More Margin

And Loss = Unlimited

And If U Want To Invest In Good Compani
Then Buy Call
Margin Less/ Loss Is Initial Amount Paid
Hello Kindman,
The whole derivatives and speculation is risky. Selling naked puts needs more margin but it can be offset by buying a call below the strike price of the sold put i.e. bear spread.
If you want to buy the stock of a good company, one would certainly like to buy it cheaper and not at a high price by buying a call.Why loose the premium by buying a call?
Unlimited loss?---
If the stock price approahes the srike price of my naked put,
1. I can offset my position by buying a call at the same strike price and accept a small lossor
2. I would sell the future of the said stock
3. even if the put is exercised, I can have a stock of a company at a cheaper rate.
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  #13  
Old 7th June 2007, 09:50 PM
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Default Re: Selling Calls?????

Hi Isolanki,
you can visit www.YourBooksLib.com and access a few books on options and then you will get a fair idea....regarding margin you can see your broker's site.
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  #14  
Old 7th June 2007, 09:51 PM
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Default Re: Selling Calls?????

its www.yourbooklib.com
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  #15  
Old 8th June 2007, 05:42 AM
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Default Re: Selling Calls?????

If the stock price approahes the srike price of my naked put,
1. I can offset my position by buying a call at the same strike price and accept a small lossor

Hello kkeskar,

Sir , i am still a bit confused . how does buying a call offset a naked short put. Is this not a vanilla long.
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  #16  
Old 10th June 2007, 07:14 AM
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Default Re: Selling Calls?????

Ha Ha Kesar Ur Funny...

See First U Sold A Naked Put ..

And When The Price Reaches Near To Ur Strike Price Then U Buy A Calll??? Ha Ha Means Double Loss When It Goes Down

Ha Ha Ur Really Funny
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  #17  
Old 10th June 2007, 01:19 PM
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Default Re: Selling Calls?????

Quote:
Originally Posted by kindman View Post
Ha Ha Kesar Ur Funny...

See First U Sold A Naked Put ..

And When The Price Reaches Near To Ur Strike Price Then U Buy A Calll??? Ha Ha Means Double Loss When It Goes Down

Ha Ha Ur Really Funny

Hello kindman
I dont think anything I said is funny and this forum is not meant to mock at somebody....I can also post in the language u use.
What I meant to say is clear.......

I have 3 options if the price approaches strike price of my naked put.
1. I can buy a put....sorry for the previous post where I misspelt it buy call.....and offset my position
2. I can sell the futures or short the stock in case I am playing intraday
3. I can accept if my put is exercised and buy the attractive stock at cheaper price.
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  #18  
Old 11th June 2007, 08:04 AM
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Default Re: Selling Calls?????

Kessar Bayya I Am Sorry For My Language... Ur Correct
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  #19  
Old 9th August 2007, 02:15 AM
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Default Re: Selling Calls?????

Quote:
Originally Posted by kindman View Post
Ha Ha Selling Put Is Risky...

It Need More Margin

And Loss = Unlimited

And If U Want To Invest In Good Compani
Then Buy Call
Margin Less/ Loss Is Initial Amount Paid

Chief- do you realize that a naked Put ( or selling a Put) is Equivalent to a covered call- I am sure you will be shocked but that is the fact> Would you call a covered call strategy risk? IT depends on the market you can loose your shirt on selling naked calls if the stock prices keep going up!
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  #20  
Old 9th August 2007, 02:20 AM
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Default Re: Selling Calls?????

Quote:
Originally Posted by kkeskar92 View Post
Hello Kindman,
The whole derivatives and speculation is risky. Selling naked puts needs more margin but it can be offset by buying a call below the strike price of the sold put i.e. bear spread.
If you want to buy the stock of a good company, one would certainly like to buy it cheaper and not at a high price by buying a call.Why loose the premium by buying a call?
Unlimited loss?---
If the stock price approahes the srike price of my naked put,
1. I can offset my position by buying a call at the same strike price and accept a small lossor
2. I would sell the future of the said stock
3. even if the put is exercised, I can have a stock of a company at a cheaper rate.

Dude

You seriously are in need of Help!
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