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Short call and Short put

This topic has 1 reply, 2 voices, and was last updated 8 years ago by John Moffat.

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March 22, 2017 at 1:12 pm #378968
syfar42
Member
- Topics: 61
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Isn’t short call the same as a Long put option as the person wants the price of the stock to go down?
Similarly, isn’t short put the same as a Long call option as the person wants the price of the stock to go up?
March 22, 2017 at 7:07 pm #378992
John Moffat
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- Topics: 57
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A short anything (whether a share or an option or whatever) is when you sell something now and buy it back later (because you think the price will fall).
A long anything is when you buy something and sell it later (because you think the price will rise).
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