Short Call

There are multiple techniques used to gain from buying stock.  Investors can make different actions and calls; they can buy and sell stocks using multiple strategies to capture the movement of the underlying security for higher profits.

A call refers to the contract that gives a person the right to purchase the underlying security at the specific strike rate before termination.

One can put the contract to buy at the specified strike price and it is called the long call, while, the strategy where one would sell a call option and assumes the role of the option writer, can be used when the investors are bearish on the stock and expect it to fall significantly. 

A short call is made when you want to sell before purchasing, it means, the trader has a bearish position.

It is the strategy that has low-profit potential, especially, as the price of the stock remains below the strike at expiration but there exists unlimited potential risk, if the prices increase or the market moves against the estimated rates, one may have to put a stop loss in place to avoid certain asset class risks.