options

[kcnewtrader]

ive took a course on options and it talked about deltas and stuff like that but the part it didnt explain is how i know when i have a profit or not. if i bought a call and the stock went up how do i know when ive made a profit or not. And the premium that I pay for the option is that lost when i buy the option or does it go to the value of the option so do i gain a profit for each dollar the stock goes up with in the money calls or does it have to go up the amount of the premium to make up for what was already lost before I gain any kind of profit at all.

[Option Stocks]

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