Can someone explain the difference between short selling and buying options?

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Jan 27, 2021
11:00:46pm

boorad All-American

Can someone explain the difference between short selling and buying options?

I thought it was basically the same thing. Is it not?

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boorad

Bio page: boorad
Joined: Jun 11, 2012
Last login: Apr 26, 2024
Total posts: 10,600 (110 FO)

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Messages

Author

Time

Can someone explain the difference between short selling and buying options?

boorad

1/27/21 11:00pm

Short selling is way way more risky. Go with the options.

CougarTailDevourer

1/27/21 11:05pm

I’m not doing it. Just wanting to know the difference.

boorad

1/27/21 11:24pm

Totally different. Short selling is borrowing a share today so you can

garyfan

1/27/21 11:15pm

Or down if you get put options.

CougarTailDevourer

1/27/21 11:28pm

Yes, same idea as a traditional option but with the hope that the price declines

garyfan

1/27/21 11:55pm

Do you have to purchase the option or can you back out when the time comes?

RUNBYU1

1/28/21 12:27am

It’s...optional.

molodyets

1/28/21 1:18am

On an option you have the right, not the obligation, to buy the stock. It’s

hansel

1/28/21 6:38am

It’s your choice. You pay up front for the right to buy at a pre-determined

garyfan

1/28/21 6:39am

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