Q533
When price of underlying asset increases then good option is
A.
buy call option
AnswerB.
sell call option
C.
buy put option
D.
sell put option
Answer: Option A
Solution
Answer: Option A
Solution:
When price of underlying asset increases then good option is buy call option. Buying a call option entitles the buyer of the option the right to purchase the underlying futures contract at the strike price any time before the contract expires.