Quote:
Originally posted by lil2rich4u2
One options contract is equal to 100 shares, right?
so if i want to buy a single contract at the asking price of lets say $4.00
do i pay a total of $4.00 or a total of $400 ?
Another question,
if i feel confident a stock is going to go up in value ... for short term profits am i better off on the stock or the options?
from the little bit that i can peice together it looks like the options is a more rewarding buy for the short term, assuming it goes in your favor.
thanks for any help.
|
you pay 400
Depends on many things, the aim price, the expected time to reach that price, volatility etc etc.