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Options

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Options are contracts between two traders that give the buyer (also known as the owner or the
the right to buy or sell 100 shares of
from the seller (also known as
at a predetermined price called the
There are two types of options:
which reserve the owner's right to buy 100 shares of stock at the strike price, and
which reserve the owner's right to sell 100 shares of stock at the strike price.

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