I'm learning to trade put options through my demo account. Currently I bought some PUT options for US 500 2440 PUT APR-20 open at 123.48 and it is currently down at 95 points. Currently my p/l is at -$290 which I don't understand because I though you would be making money if the market is going down when you buy put options? Can someone tell me why is this so?
Put option trading
in IG Trading Support - Dealing Questions
Posted
Hello IG freinds,
I'm learning to trade put options through my demo account. Currently I bought some PUT options for US 500 2440 PUT APR-20 open at 123.48 and it is currently down at 95 points. Currently my p/l is at -$290 which I don't understand because I though you would be making money if the market is going down when you buy put options? Can someone tell me why is this so?
Thanks!