think this is not quite right.
He is selling an in the money option, so if stock is above 15, but below 20, he will make a profit. If stock is above 20, then he will make a loss, except if stock is only a tiny little bit above 20 and that loss is covered by the time premium he gets from selling the option.
fwiw, gis
On Tue, Jul 6, 2010 at 1:53 PM, Jack
<jack@jackcpa.com> wrote:
No, the stock will be called away from you, you will be short 100 shares (but you will have $1500 in your account that you can use to 'partially' fund buying 100 shares. L )
stock trading $20, sell call option @ $15
will I get put the stock if above $15?
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