Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...
A short straddle is an advanced options strategy used when a trader is seeking to profit from an underlying stock trading in a narrow range. Since it involves having to sell both a call and a put, the ...
A strangle is a popular options strategy that involves holding both a call and a put on the same underlying asset. It yields ...
Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors. A strangle is a variation on the straddle, and it presents some interesting possibilities in terms of profit ...
When most traders think of making money in the markets, they picture buying low and selling high — or riding a trend. But what’s the best trade to make when a stock does absolutely nothing? That’s ...
The straddle is an options trading strategy, so named for the shape it makes on a pricing chart; your position literally “straddles” the price of the underlying asset. With the straddle, you trade on ...
Straddles and com-binations are volatility trades unique to the options market. A straddle or a combination is profitable if the underlying security trades inside (if you are selling a straddle or a ...
Options straddles and options strangles are two advanced options strategies that can be used to capitalize on changes in implied volatility (IV) and stock price volatility. Options straddles and ...
A short straddle is an advanced options strategy used when a trader is seeking to profit from an underlying stock trading in a narrow range. Since it involves having to sell both a call and a put, the ...