Options trading mainly involves opening a bullish position and opening a bearish position, and closing the position means closing the position with a profit or loss. Options fluctuate quickly, so positions must be opened and closed more frequently. The specific trading and opening and closing of futures positions are the same. Futures are bought up and sold down, and options are bullish and put down. The following describes how to close an option position? This article comes from: Option Sauce
1. The steps for closing an option position are as follows:
1. Enter the option account, select the closing transaction, and select buy or sell.
2. Enter the number of options to be closed, and select market price close or limit price close.
3. Confirm the transaction details and execute the closing transaction.
4. It should be noted that the closing methods of different types of options are slightly different. Traders need to choose the closing method of options reasonably to achieve optimal trading results.
2. Options closing operation skills
Open a position: that is, open a position. There are usually two modes of operation in trading, one is to go long (buyer) when the market is bullish, and the other is to go short (seller) when the market is bearish.
Whether it is long or short, placing an order is called "opening a position." It can also be understood that in trading, whether buying or selling, any new position is called opening a position. Position closing: The transaction behavior of a trader to close a position. The method of closing is to conduct opposite hedging transactions in the direction of the position.
For example, I bought before and sell now. If it was borrowed and sold before, buy it and pay it back now. In short, after closing the position, you will hold the cash.
3. Options trading rules
1. The rights and obligations of buyers and sellers are different. The buyer has rights but no obligations after paying the royalties; the seller has no rights but has obligations after receiving the royalties.
2. The income and risk characteristics of buyers and sellers are different. The buyer's maximum loss is the premium, and the potential gain is huge; the seller's maximum gain is the premium, and the potential loss is huge.
3. The deposit payment requirements for buyers and sellers are different. The buyer does not need to pay a deposit, and the seller must pay a deposit as a performance guarantee.
4. The contract types are call options and put options, and the contract unit is 10,000 units/piece.
5. 50ETF option trading hours: 9:15 to 9:25, 9:30 to 11:30, 13:00 to 15:00 on each trading day, of which 9:15 to 9:25 is the opening call auction time. 14:57 to 15:00 is the closing bidding time, and other times are continuous bidding times.
6. Expiration month: The contract expiry months are the current month, the next month and the following two quarter months.
7. Last trading day and exercise date: the fourth Wednesday of the contract expiration month.
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