A short option, regardless of whether it’s a call or put, can beat any time regardless if the option is in or out of the money. When selling a put, the seller is contractually giving the right for the put owner to sell or “put” them stock at a given price (Strike Price) in a given set of time (expiration). Selling a call gives the right to the call owner to buy or “call” stock away from the seller within a given time frame. The purchaser of an option has the right to exercise at any time prior to expiration, but not necessarily the obligation to do so. Short options are most commonly assigned if the options expire in the money.
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