Options settlement doubts

Dear all,

I have a very big doubt in the options settlement.

If i buy any share at cash market 100 rupees and sell at 120(after a month), the buyer at 120 will give me my profit. so my profit is given by the buyer of my shares at 120. This is in cash market.

If i buy a 50 strike call at 2 rupees, market lot of 1000. I will pay 2000 to enter the call option. assume after 2 weeks before expiry the share price goes to 70 rupees, so the call will be atleast 20 rupees, so my profit is 20 - 2 = 18, the lot is 1000. so my final profit is 18000.

My doubt is who will pay my profit. assume the buyer of my sold call pays 20* 1000 which is only 20000. But i will get 18000, please tell me who will pay the profit fro me. Do i get my profit from his buying ???

If i am confusing you... sorry......

Thanks

Market looser

Why do you care who pays you your profit? Anyway, your logic about the cash market buyer giving you your profit is flawed too.

Ull get Rs, 20000 only.....ur net position will 18000 in ur hand as u have paid Rs 2000 as a premium b4..

Thanks