Options Trading Tutorial

Confused about options strike price?

I am confused about one thing in trading forex options. if the spot price of EURUSD in 1.4644 and i open a sell put option at 1.5000 and the expiry for next day. the sell option is a credit options so i should receive the premium right?? so when will i receive the premium after expiry? and what if the spot price at expiry is 1.4550 how much will i lose?

Public Comments

1. You will lose 1.5 - 1.4550 = 0.0450 on the exercise of the put but you get to keep the option premium no matter what, so your loss will actually be 0.04550 - (premium collected)