Options Glossary

Glossary: Call Option

Last Updated: February 21, 2015

Glossary

Call Option

What Does Call Option Mean in Options Trading?

Synonyms:
the buyer and the seller of this type of option.<br /><br />The buyer of the call option has the right

A call option gives the buyer the right, but not the obligation, to buy assets at a certain price before a specific expiry date of an options contract.
A buyer of a call contract wants the underlying stock to increase in value, while the seller of the call option wants the underlying stock to decrease in value.

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