LogFAQs > #953145555

So what exactly happens when you sell or buy an option in the money? In other words, do you only do that when you think the stock will surpass the current price? As an example, if Disney is at 182.40 and I sell a put for $182.50 strike price, what happens? From what I can tell you get a higher premium given the higher risk that itll finish below that price.