Hi everyone, When you are using American Call options, you can earn profits in two ways: by exercising them at any time on or before the expiry date if the underlying price is above the strike price, or you can trade the option itself in the market at any time if its premium has appreciated. While, for a European Call option, you can only exercise on the expiry date if the underlying price is above the strike price to earn a profit. THE QUESTION IS CAN YOU TRADE A EUROPEAN CALL OPTION IN THE MARKET AT ANY TIME LIKE AN AMERICAN CALL OPTION? OR CAN YOU ONLY TRADE THIS OPTION IN THE MARKET ON THE EXPIRY DATE AS WELL?I appreciate if someone could provide me an answer regarding both the US and Canadian MarketBest wishes

Don't double post.LOL.. Yes you can trade European options in the market at any time. However, the restriction is: You can only trade them with me... now give me your number and....

That's not correct. An European Option can be traded at any time just in Europe. In the US you can trade it only on fridays and on the expiry day. In Canada I believe you can only trade it after the expiry for 20 working days. But remember: also American options have restrictions in Europe, especially if traded by American banks. Instead Canadian banks can trade American Options in Europe only if they don't have a branch in Japan or Hong Kong. Otherwise they will have to treat them as Asian options which, as we all know, can be traded only on an average of twice a week (and just using strikes containing one or more zeros).Hope this helps

RFMontraz is right. What I said applies to Europe only.There is a different restriction on options traded in Bermuda. These can only be traded on certain dates of the week or month.

and in Japan and Hong Kong you can trade every end-of-month and average the PnL

In Europe trading options in bermuda is allowed on casual fridays only

Other important restrictions are:Mountain Options (can't trade them, usually not enough air)American Swaptions (can only be swapped against another options. So, your counterparty hast to have an option he can give you, otherwise you can't swap it)Real Options (may not be traded in the imaginary world)Warrants (can only be traded with permission of a judge)

Foreghn exchange options can only be traded with foreghn firms.

hmm...let me tryBond options can only be traded with people who you have a good relationship with because, in case of default, you can get them.Municipal bond options can only be traded when you are in the municipality the bond is issued for, with people who you have good relations.

Futures cannot be done today.

Swaps are more complicated than swinging.

and in Japan..slight correction. actually you can trade 3 times per week, but only 1x per day - prices are determined by itayose just as on the open/close, ya know.

I've heard that trading strangles is going to feature in a new ESPN2 extreme fighting show!Also that Bull spreads are traded in Chicago but only by basketball fans obviously the Bear spreads are aimed at football fans!

QuoteOriginally posted by: XKEI've heard that trading strangles is going to feature in a new ESPN2 extreme fighting show!Also that Bull spreads are traded in Chicago but only by basketball fans obviously the Bear spreads are aimed at football fans!O'hare straddle are airport options that can be bought at you know where, I wonder about the LGA strangle anyone knows about this product?

ARMA (autoregressive moving average) is the approximate speed at which your car backs up.