Recent content by cilbery

That makes sense. Thanks for the input. Now that I have a better understanding of what's going on under the hood, I think I'm going to start dabbling with options.

excellent, thanks for the answer. Just to get a better understanding of the mechanics here, who would be responsible for fulfilling the contract when exercised? The original writer?

I would like to know how this scenario would play out. Lets say I buy a call. The underlying equity rises in value. I then sell my call for a profit. All well and good right? ...but what I don't get is this. The person who bought the call from me now has the right to buy that equity at the...