A short call or put option position which is covered by the sale or purchase of the underlying futures contract or physical commodity.
An option contract backed by the shares underlying the option. An option is covered when the person who owns stock sells call options in that stock since if the price goes up, the seller is in a position to deliver the stock to the buyer without going to the market first.
Covered or hedge option strategies Covered position
An option contract backed by the shares underlying the option. The two types are covered call and covered put. see also uncovered, writer, cover.
a put or call option backed by the shares underlying the option
An option contract backed by the shares original the option.
An option writing form in which the writer of the Option (the seller) owns the security and sells a call against it. If the option is then exercised, the stock can be called away. A covered option can also allow for a put sell when one is short the underlying stock of the option.
An option written against an opposite position in a futures market.
An option written against an underlying position options
A short call or put option position that is covered by the sale or purchase of the underlying futures contract or other underlying instrument. For example, in the case of options on futures contracts, a covered call is a short call position combined with a long futures position. A covered put is a short put position combined with a short futures position.
An option position that is offset by an equal and opposite position in the underlying security.
An open short option position that is offset by a corresponding stock or option ...
An option contract that is actually backed by the underlying security. Example of a Covered Call: Selling 1 call option of XYZ, and also owning 100 shares of XYZ.
A form of option writing in which the writer (seller) owns the underlying security and sell a call against that security. If the option is exercised, the stock can be "called away". Covered writing can also mean selling a put when one is short the stock.