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Can someone please explain to the short put option? Like in this question Suppose that you write a put contract with a strike price of
Can someone please explain to the short put option? Like in this question Suppose that you write a put contract with a strike price of $40 and an expiration date in three months. The current stock price is $41 and the contract is on 100 shares. What have you committed yourself to? How much could you gain or lose?
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