After we enter a short strangle, we go into position management mode. When movements in share value remain moderate we don't have a directional exposure to the underlying. We just capture time value ...
Opposite of the short put spread, a short call spread is a neutral-to-bearish options strategy that is employed by traders who expect a stock to remain below a layer of resistance. This type of spread ...
The short call spread (or "bear call spread") is a strategy employed by traders who expect a stock to move sideways, or decline slightly, during the time span of the trade. The spread offers a limited ...
If your analytics tell you a bear market is ahead, you might be thinking about trying to make money from the market with a short call options strategy. Effectively, you are putting up your bet about ...
Call options are one of the two major types of options, and investors have two ways to use them: either selling them or buying them. Buying, or going long, calls offers tremendous potential gains, and ...
Elvis Picardo is a regular contributor to Investopedia and has 25+ years of experience as a portfolio manager with diverse capital markets experience. Pete Rathburn is a copy editor and fact-checker ...
Opposite of the short put spread, a short call spread is a neutral-to-bearish options strategy that is employed by traders who expect a stock to remain below a layer of resistance. This type of spread ...
There are plenty of ways to profit on a stock's movement beyond investing in the actual stock itself. Options provide a nearly endless array of strategies, due to the countless ways you can combine ...
There are plenty of ways to profit on a stock's movement beyond investing in the actual stock itself. Options provide a nearly endless array of strategies, due to the countless ways you can combine ...