Explore 10 essential options strategies every investor should know, from basic calls and puts to advanced spreads, risks, rewards, and real-world use cases explained.
If you're new to options trading, you might be confused by the many terms, such as vertical options, straddles, and strangles. The following article will introduce you to each type and explain why ...
A strangle is a popular options strategy that involves holding both a call and a put on the same underlying asset. It yields a profit if the asset’s price moves dramatically either up or down.
How to profit from a big move in either direction With earnings season right around the corner, options players might want to look into employing a long straddle strategy. A long straddle is typically ...
When traders first start using options, they often employ them either as a way to take a directional view on an asset (buying a call if they expect it to rise or a put if they expect it to fall) or as ...
Put and call options are the building blocks of many options trading strategies. A call option gives the holder the right, but not the obligation, to buy a stock at a specified price (the strike price ...
When the stock market becomes a roller coaster, the gains and losses both get larger. Traders have the potential to make profits during volatility, but getting it wrong can result in losses. Some ...
Stock options are a riskier type of investments but have the ability to produce outsized gains for investors without the need for margin, though some strategies require it. An investor might lose ...
Earnings season may seem like a scary time to trade stocks given the heightened chance of a volatile post-earnings move. Options can often provide speculative players the ability to invest in the ...