Call Option definition

Call Option (also called Call) is a right to buy a number of shares of a stock at specific price (called Strike Price) within specified period of time.

For example, say today is March, and you buy May (of the same year) Call Option to buy 1000 shares of ABCD at 25. That means that you have a right (but not obligation) to buy 1000 shares of ABCD at $25 per share until the end of 3rd friday of May (options expire on third friday of every month).

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