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  2. The difference between buying and selling call options is as follows12345:
    • Buying a call option: You pay a premium for the right to purchase the underlying stock at a set price (strike price) on or before a specified date (expiration).
    • Selling a call option: You sell the right for someone else to buy the stock from you at a set price.
    • Buying a put option: You pay a premium for the right to sell the underlying asset at a set price.
    • Selling a put option: You sell the right for someone else to sell the asset to you at a set price.
    Learn more:
    Selling an option at its origin — as opposed to reselling a put or call you originally bought — is also known as “writing” an option. When you buy a call, you make a small payment, or the “premium,” in exchange for the right to purchase the underlying stock at a set price, or the “strike price,” on or before a specified date, or the “expiration."
    www.nerdwallet.com/article/investing/call-vs-put
    A call option gives a trader the right to buy the asset, while a put option gives traders the right to sell the underlying asset. Traders would sell a put option if they are bullish on the asset's price and sell a call option if they are bearish on the price.
    www.investopedia.com/ask/answers/06/sellingoptio…

    Options: The Difference in Buying and Selling a Call and a Put

    • Buying a Call Calls have an expiration date and infinite amount of profit. So unlimited upside and limited downside.
    tradersfly.com/blog/difference-in-buying-and-sellin…
    In the case of call options, the buyer is betting that the price of the underlying asset will be higher on the open market than the strike price—and that it will exceed the strike price before the option expires. If so, the option buyer can buy that asset from the option seller at the strike price and then resell it for a profit.
    www.investopedia.com/ask/answers/sell-open-buy …

    Key Takeaways

    • Options are contracts that grant the right, but not the obligation, to buy or sell an asset at a predetermined price.
    www.investopedia.com/buying-vs-selling-options-7…
     
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