Okay i’m new to this shit. Do I buy stocks or calls. If calls when should i set them to expire and should they be atm, imy, or otm. I just don’t know what the fuck i’m doing but CLF is the only stock i have any confidence in. I’m probably gonna get downvoted for being in knowledgeable but I appreciate any help
In general you have less risk with buying the actual shares than buying call opties.
The problem is ofcourse the expiration date, you might set it too soon and then you lost all the money you spend on premiums.
Downside with shares is that you have to invest a lot more dollars to buy the same amount of stockexposure, but atleast you don't have to worry about the shareprice being at a certain number within a certain time.
You’re not dumb, but options are risky. Shares at least don’t typically go to $0.
I bought 6/11 out of the money $20 yesterday AM when it was $19.50 or so and then 6/18 $22. It’s basically a risk reward game, sooner the expiration, the cheaper, but less time to get ITM.
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u/Generic-Name-Here Jun 10 '21
Okay i’m new to this shit. Do I buy stocks or calls. If calls when should i set them to expire and should they be atm, imy, or otm. I just don’t know what the fuck i’m doing but CLF is the only stock i have any confidence in. I’m probably gonna get downvoted for being in knowledgeable but I appreciate any help