In simple terms a put is like betting that the value of a stock will go down so if it goes down you make a chunk of money relative to the specifics of the put option you exercised and a call is the opposite, that you think that a stock value will go up. So basically your understanding that he thinks calls will increase is correct. (of course theres more detail to it but that’s it in broad strokes)
In simple terms a put is like betting that the value of a stock will go down so if it goes down you make a chunk of money relative to the specifics of the put option you exercised and a call is the opposite, that you think that a stock value will go up. So basically your understanding that he thinks calls will increase is correct. (of course theres more detail to it but that’s it in broad strokes)