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north central Ohio | Need more info. Are you buying or selling puts? I assume you’re buying. Say you bought a December corn $6 put for 50 cents anticipating it would go down. However it went up some to say $6.5 and now you think the market is going to stay up and you want out. The put still will have value until expiration known as time value. So the $6 put may only be worth 20 cents now but you could take the 20 cents and pocket it or use it to take another position in the market. But you’d be out 30 cents. Same goes if it market would have gone down you can get out at anytime if you think it is done dropping and collect a profit. Is this what your asking? Options don’t have to be taken to expiration to collect a profit and is why most expire worthless. | |
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