What is a short call?

A short call is an options trading strategy where an investor sells (writes) a call option with the expectation that the underlying asset's price will either remain stable or decrease. This strategy involves taking on an obligation to potentially sell the underlying asset at a specified strike price if the option is exercised by the buyer.The trader receives a premium upfront from the sale of the call option, which serves as their potential profit. However, in return for this premium, they assume the risk of having to sell the underlying asset at the predetermined strike price if the option is exercised.To know what is a long call click here What is a long call?