Hedging - Option Buying Or Option Selling?
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Did anyone here try Hedging in Option Buying and Option Selling?
If yes, which is the best thing to choose between Option Buying and Option Selling if you are someone who always hedges your position?
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https://www.desidime.com/discussions/hedging-option-buying-or-option-selling?page=1#post_7393617
For hedging, You always buy a option and gives the premium (cost of option).
You buy PUT option when you suspect that the market will fall –
PUT – It grants the right to the owner to sell an underlying asset at a fixed price (strike rate) through a predetermined time frame
vis-a-versa for call.
OPTION seller are those who taking the gurantee to the movement of stocks. Selling do not hedge the stocks as far as i know.
@bikidas2060
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Option selling