When you are short an ITM call at expiration the broker will
ajee 19. Jul, 2015 0 Comments
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canada goose factory sale I not sure if you are trying to compare these two options, or if you want to trade them both together.When you are short an ITM call at expiration the broker will automatically exercise it for the buyer (if the buyer didn exercise it early). This means you owe the buyer 100 shares of the stock at the strike price for each contract you sold.If you have the stock then this was a covered call and it is sold to the buyer and you collect the amount of the strike price. If your net stock cost was lower than the strike this would mean you made a profit.If you didn own the stock, then this was an un covered or naked call. canada goose factory sale
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