Put options are a type of option that increases in value as a stock falls. A put allows the owner to lock in a predetermined price to sell a specific stock, while put sellers agree to buy the stock at ...

What Is a Stock Option? A stock option is a contract giving its holder the right, but not the obligation, to buy or sell a stock at a given price before a specific date. There are two main types of ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Thomas J Catalano is a CFP and Registered ...

Options buyers can use their call and put options as a means of buying and selling shares Although we know (perhaps better than most) that there are many uses of stock options, we tend to focus quite ...

A bear call spread is an options strategy where you sell a call option at one strike price and buy another at a higher strike price for the same stock and expiration. This approach caps both potential ...