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 ...
An option gives traders the right, but not the obligation, to trade the underlying asset that it is linked to. Whether the underlying asset moves up or down in value, an options straddle is a trading ...
Buying a straddle profits from significant price swings regardless of direction. Selling a straddle profits when the stock price remains stable near strike price. Straddle buying is risky before ...
The risk with options straddles and options strangles is limited Options straddles and options strangles are two advanced options strategies that can be used to capitalize on changes in implied ...
Finding optimal swing trades can be tricky when the stock market is chopping in a range. However, volatility option strategies that benefit from time decay can be a great choice, especially if implied ...
Market volatility could be your friend too, and I will discuss how investors can take positions in stocks based on expected volatility. Options are not only useful to hedge risks and could be used by ...