No. Your maximum loss on your options is the cost of the premium you paid for! That is in the worst case scenario. You can sell your option for the residual values left of it to use on your next trade.
Unless you leveraged, no or shorted the options, no. But if you buy a stock, your loss is not unquantifiable either. It's also 100% of what you paid for unless you shorted the stock or bought the stock on margin. Looks like you need to learn everything about investing right from the beginning.
Thanks for clarifying this question for me. The only thing I know about options are: If you like em' buy Calls. If you hate em' buy Puts. LOL. I had made $ buying puts in FB a few months ago when it sold off but I know nothing about strike prices or how the options pays once its in the money (whatever that means). While I'm at it: say I thought the SPY was going to go to the moon this year. I read somewhere that one should buy Out of the money calls. What does that mean?
so, I had 2 18 APR 19 5 CALL expiring today when I went to close out the position and put a market order nothing happened - the trade did not execute and the market order is just hanging out there unexecuted. what is happening? has the option expired? do close out orders on day of expiry don't execute? Thanks for your help.
No one wants it because there is no intrinsic value. The strike price is $5 and today the stock is at $3.3. It will expire worthless.
Thank you! That means I don't have to do anything? Also, the loss that is showing in my account is the only loss I will take, not anything more than that?
Not to burst your bubble but there might be just a little bit more to options than that. If you are seriously thinking about using options try to learn more about them first.