NattyLightLover
NattyLightLover t1_iy3l6rf wrote
Reply to comment by De3NA in [OC] I sell options for a living. Here is a glimpse into what a typical month looks like. My October performance. by ShallowNefariousness
Options have a lower delta than stocks so they move less (dollar basis) when the stock makes a move, but they are leveraged so it costs less and thus move more (percentage basis).
If you hold a call you bought through expiration, you will buy 100 shares at the strike price of that option. If you have sold a call to open(short) and hold it through expiration, you will be assigned 100 short shares at the strike price.
If you hold a put your bought through expiration, you will be short 100 shares at the strike price. If you sell to open a put and hold it though expiration, you will be assigned 100 shares at the strike price.
With a short call and a short put, because you sold them, if your option gets assigned you still keep the premium.
NattyLightLover t1_iy3olvv wrote
Reply to comment by De3NA in [OC] I sell options for a living. Here is a glimpse into what a typical month looks like. My October performance. by ShallowNefariousness
IV or Theta