I am new to trading options and have a few basic questions.
1. If an option is selling for .15, that means it is 15 cents for the contract to put/call 100 shares right?
2. If I buy 10 contracts of .15, how much will that order cost?
3. I know options can be traded before expiration, however, what is the volume like? On a small cap, that sees significant movement [3%+] in favor of my option, will I be able to unload it that day should I see fit?
4. I'm looking at an options chain for SNDK today. The $52.5 Nov-06 call last trade was .50 cents, with a volume today of 619. Does that mean that only $309.5 was traded in this option today?
thanks all!
2006-10-31
10:15:28
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4 answers
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asked by
grimmy b
2
in
Investing