Part 2 Candle Stick Pattern

Understanding Call and Put Options

There are two basic types of options: Call Options and Put Options.

Call Option:
A call option gives the holder the right, but not the obligation, to buy an underlying asset at a specific price (called the strike price) before a specific date (called the expiry date).

Put Option:
A put option gives the holder the right, but not the obligation, to sell an underlying asset at a specific strike price before expiry.