Can someone educate me here - If I buy a call for 50¢ premium so my sunk cost is $50 and then the stock shoots up I get the price - cost when I got in - $50? Correct? But if it’s out of the money, all I lost is the $50 right?

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By expiration, yes.
But you don’t need to hold it till expiration or in the money to profit.

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Yep

Why they’re great!

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Additional Posts in Option Traders & Investing

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