The specified price is the strike price. Single Stock and Exchange-Traded Product Options. Find all the information stock options p \u0026 l you need to land a job in Carlsbad and build a career. Price-Based Option: A derivative financial instrument in which the underlying asset is a debt security.
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In the P&L graph above, the dashed line is the long stock position.
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With the long put and long stock positions combined, you can see that as the stock price falls, the losses are limited.
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