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In Reply to: Re: how does that work? posted by WinthorpeIII on December 21, 2006 at 13:54:57:
... and I may not...
You have an option to sell at a certain price, lower than the current price because you think it will drop. Is that right? But if th stock doesn't fall, you don't sell, or do you then have to sell at the agreed price?
I don't see how the guy in the film lost all the money.
Why not just sell at the market price if you know the bomb goes off and the price falls? Selling above the fallen price appears to offer no advantage.
Or do I have the stick by the wrong end?
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Follow Ups
- if I get it... - dave c 19:13:31 12/21/06 (2)
- Re: if I get it... - RGA 22:16:11 12/31/06 (0)
- Re: if I get it... - WinthorpeIII 19:53:26 12/21/06 (0)
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