Guys plz help me on this basic doubt. I am not exactly a novice in options but so far had been only 'buying' options. Now after some consideration and planning want to enter the 'selling' side.
My query is this: Can you square off an option you sold shortly after you sold it? This can happen due to the fact that the underlying's movement is against you and the option may be exercised against you.
We do this always in buying options wherein we square off our position if we want to contain our loss or book a profit.
My query is this: Can you square off an option you sold shortly after you sold it? This can happen due to the fact that the underlying's movement is against you and the option may be exercised against you.
We do this always in buying options wherein we square off our position if we want to contain our loss or book a profit.