Definition of scope - the extent of the area or subject matter that something deals with or to which it is relevant, the opportunity or possibility to d Definition of scope - the extent of the area or subject matter that something deals with or to which it is relevant, the opportunity or possibility to d dictionary thesaurus
Definition of Long Put: An investor is said to be long a put option when he has purchased a put option and currently owns the put. The term going long refers to buying a security, and applies to being long a stock, long a call, and long a put.
Being long a call option means that you will benefit if the stock/future rallies, however, your risk is limited on the downside if the market makes a correction. From the above graph you can see that if the stock/future is below the strike price at expiration, your only loss will be the premium paid for the option.