Become an Options Trading PRO (Options Trading for Beginners) - Call Options Explained for Beginners

📩 Free Weekly Options Newsletter → Get my 160+ page Options Trading for Beginners PDF, bonus guides, AND exclusive weekly trade ideas & setups delivered to your inbox: https://projectoption.com/free-guide ⚡ Model any options trade before you place it → visualize P&L, Greeks, and "what-if" scenarios: https://projectoption.com 💥 Learn options strategies that actually work, backed by historical data and real backtests: https://projectoption.com/data-driven-options-strategies ☑️ Open and fund a tastytrade account and get $296 worth of options trading resources and tools: https://projectoption.com/tastytrade ==== Call options are one of the two primary option types, with put options being the other. In this video, I explain the basics of call options in great detail, covering: 0:00 - Introduction 0:47 - What is a Call Option? 2:10 - The Option Contract Multiplier 3:35 - How a Call Option's Value is Determined 5:20 - A Call Option's "Intrinsic Value" 6:25 - How Call Buyers Make Money 10:03 - How Call Buyers Lose Money 15:00 - What is Extrinsic Value? 16:35 - Call Option Trade Examples Visualized 24:00 - Buying a Call on tastyworks (Trade Demonstration) 33:35 - What is Shorting a Call Option? 34:22 - Short Call Trade Examples Visualized 39:40 - Shorting a Call on tastyworks (Trade Demonstration) I realize I did not talk about exercising call options in this video, and that's because options are rarely exercised due to the loss of extrinsic value when exercising an option. Instead, options traders buy/sell options with the intent of profiting from the price changes of the option contracts, and have no intention of ever exercising the options to convert them into shares. Be sure to leave a comment down below with any questions you may have! === RECOMMENDED VIDEOS/RESOURCES === Long Call Option Explained: https://projectoption.com/blog/long-call-option-explained PUT OPTION BASICS EXPLAINED: https://youtu.be/oXQ1b0rA0r4 BULL CALL SPREAD STRATEGY: https://www.youtube.com/watch?v=cN6Hj2DZFek BEAR CALL SPREAD STRATEGY: https://www.youtube.com/watch?v=qfai6_DvFMw Why Early Exercise/Assignment is Rare: https://www.youtube.com/watch?v=7pTb1a5IgKM Options Trading For Beginners (PLAYLIST): https://www.youtube.com/playlist?list=PL33AZa4cv-o58ldr-5zSn4ROx4SZG7Jyo tastytrade Tutorials (PLAYLIST): https://www.youtube.com/playlist?list=PL33AZa4cv-o56a2BO3jpK_PBUFe3FdvxP Option Pricing EXPLAINED: https://youtu.be/-nnJ4pMBaxA Options Trading 101: https://youtu.be/3bELT5FZCic tastytrade, Inc. (“tastytrade”) has entered into a Marketing Agreement with Project Finance(Marketing Agent”) whereby tastytrade pays compensation to Marketing Agent to recommend tastytrade’ brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastytrade and/or any of its affiliated companies. Neither tastytrade nor any of its affiliated companies is responsible for the privacy practices of Marketing Agent or this website. tastytrade does not warrant the accuracy or content of the products or services offered by Marketing Agent or this website. Marketing Agent is independent and is not an affiliate of tastytrade.