02-04-2011, 05:14 PM
The big difference between a Short and selling a call though is that when you sell a call you are the writer of contract that someone else holds (not the broker), where a short is an outright margin agreement with the broker. At least that's how I understand it.
The main reason I was asking is I have made some good bets on buying calls. I was wondering if I would ever get burned from a contract writer that all of a sudden could not fulfill closing a bunch of poorly written contracts
The main reason I was asking is I have made some good bets on buying calls. I was wondering if I would ever get burned from a contract writer that all of a sudden could not fulfill closing a bunch of poorly written contracts
Maul, the Bashing Shamie
"If you want to change the world, be that change."
--Gandhi
"If you want to change the world, be that change."
--Gandhi
