Covered Call and Selling Put Options

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Covered Call and Selling Put Options

hi all, I am relatively new in trading options in tiger brokers and have a few questions regarding covered call and selling put options: 1) For Covered call, in the scenario upon expiry, the stock prices goes above my strike price for the call option I sold, do I get to choose on stock assignment to the buyer of my call option contract, or do I have to buy-to-close the call option contract and incur the losses? I am asking this because I have intentions to collect premiums on my stocks and hence looking to sell call options on them. 2) Secondly, regarding selling put options, assuming the stock trades below my strike price, do tiger broker provide me with the option to purchase the stocks at strike price or do I have to buy-to-close the put options upon expiry?Thanks in advance for the clarifications!

# Profit from Time Decay in Choppy Market! Would You Try Iron Condor?

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Miker99
·05-15
I thought one of the benefits of selling options was that you get the premium up front. I'm confused about this statement "you won’t need to buy-to-close the option and you get the premium after the stock is automatically assigned."
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OptionsTutor
·04-27
Hi, thanks for choosing Tiger Trade
If you are the one to sell covered call and put, your stock will be sold at the strike price or you will have to buy the stock at the strike price if the stock rises above or dips below your exercise price.
You do not get to choose whether to assign or not — it’s automatic if the option is exercised.
In this case, you won’t need to buy-to-close the option and you get the premium after the stock is automatically assigned.
Let me know if you need further clarification. I hope this helps!
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Gman1234567890
·05-17
how do we get to be allowed to trade options?
my account says I am not allowed to sell options.
How do I qualify ?
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