Stock options are contracts you can buy or sell where you make a bet on what a
stock's price will be at a certain time in the future (the strike and expiration). This allows you to massively leverage your investment since one contract holds 100 stocks.
People who invest in options like to use words like "gamma", "hedging", "
condors", "premium" and "IV" to seem smart. In reality, most options traders are autists who consistently lose money and brag about it on
wall street bets.
Degenerate: "I just went long 29
stock option calls on
TSLA at the
690$ strike expiring first weekly with a premium of 1.8$ per share and 400 delta."
Person: "Why can't you just say "I just made 29 bets that Tesla will go above 690$ by next Friday, I paid 180$ per bet and will make 400$ per dollar the stock moves"?"
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Degenerate: "I lost everything..."
Person: "Post it on r/wallstreetbets, you gotta get that Reddit karma!"
