Selling Options Vs Buying Options -
: You are Short Theta (time is your enemy) and Long Gamma (you benefit from explosive price moves). Selling Options (Short Premium)
Buying vs. Selling Options: Which Is Riskier? - Investopedia selling options vs buying options
Selling an option (also called "writing") means you take on the to trade if the buyer chooses to exercise their right. : You are Short Theta (time is your
Buying an option (a call if you're bullish or a put if you're bearish) gives you the , but not the obligation, to trade a stock at a fixed price. - Investopedia Selling an option (also called "writing")
: Your risk is strictly capped at the premium you paid . Even if the stock crashes to zero, you can't lose more than your initial investment.
Adam's new book, "Irrational Together: The Social Forces That Invisibly Shape Our Economic Behavior" (University of Chicago Press) Investopedia Buy or Sell Options? Which Is Better?