and when they anticipate the price to fall, they may choose a put option. Understanding these fundamentals is crucial before delving into various option trading strategies.
That makes the straddle options trade direction agnostic, as the stock could move either way and the strategy can still make a profit. A trader expecting big swings in the underlying security’s ...
This strategy is often used to hedge against the risk of loss on a long stock position or an entire equity portfolio by using index options. It can also be used to hedge interest rate movements by ...
In fact, the New York Stock Exchange website noted that ... Recognizing the Multivariate Nature of Risk With options strategies — and especially with multi-leg strategies like bull call ...
Given the lackluster performance, there may be a natural tendency to consider shorting ORCL stock with the purchase of put options. With the broader tech sector having enjoyed robust returns ...