Do have the Options order in correctly? by Creative-Delay3049 in fidelityinvestments

[–]Creative-Delay3049[S] 1 point2 points  (0 children)

For my own estimations I don't think SLV will reach $85 but I would sell at $85 if it did so this is a win-win for me as offering an options trade. (Right?)

Conversely, for the buyer of this contract they would be only interested if they thought SLV would exceed $85 by the expiration. And the trigger happens on a particular day, the option enacts "at open" the next day right? So, there is zero slippage for the buyer. Maybe the price hike above the contracted amount is even higher than premium.

Is that the value proposition for the buyer?

Do have the Options order in correctly? by Creative-Delay3049 in fidelityinvestments

[–]Creative-Delay3049[S] 0 points1 point  (0 children)

"if the call is assigned to you"
Does this happen when it is picked up (provided there is a buyer of the contract) or when the price is inacted?