Once a put option contract has been exercised, that contract does not exist anymore.

A put option grants you the right to sell a stock at a specified price at a specific time. The holder of a put option expects the price of the underlying stock to decline.

When the price of that stock goes down, the holder of the put option has two choices: You cannot exercise the option and then sell it at the same time; it has to be one or the other. When a put option is in-the-money , depending on the rules of the brokerage firm you are using, instructions are submitted to your broker or it is automatically exercised.

Exercise (options) - Wikipedia

If the option is exercised, the holder buys the stock at its current price and sells the same stock at its exercise price. When that option contract is exercised, it no longer exists.

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After exercising a put option, can I still hold my option contract in order to sell it at a lower price? By Chizoba Morah Share.

To learn more, see our Options Basics Tutorial. This question was answered by Chizoba Morah.

Learn how the strike prices for call and put options work, and understand how different types of options can be exercised A put option is a contract that gives the option holder the right, but not obligation, to sell a set amount of shares Learn about put options, what they are, how these financial derivatives operate and when put options are considered to be A brief overview of how to profit from using put options in your portfolio.

There are times when an investor shouldn't exercise an option. Find out when to hold and when to fold. Learn how analyzing these variables are crucial to knowing when to exercise early. We look at strategies to help manage taxes and the exercise of incentive and non-qualified stock options. The ability to exercise only on the expiration date is what sets these options apart. Options are valued in a variety of different ways.

Learn about how options are priced with this tutorial. As long as the underlying stocks are of companies you are happy to own, put selling can be a lucrative strategy. An option that can be exercised anytime during its life.

The price at which the underlying security can be purchased call An option contract giving the owner the right, but not the obligation, An expense ratio is determined through an annual A hybrid of debt and equity financing that is typically used to finance the expansion of existing companies. A period of time in which all factors of production and costs are variable.

Put option - Wikipedia

In the long run, firms are able to adjust all A legal agreement created by the courts between two parties who did not have a previous obligation to each other. A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation.

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