Option strategy buy call buy put names


Option strategy buy call buy put names


Too often, traders jump into the options game with little or no understanding of how many options strategies are available lut limit their risk and maximize return. With a little bit of effort, however, traders can learn how to take advantage of the flexibility and full power of options as a trading vehicle. That is, its valueis derived from something else. DescriptionA bull call spread is a type of vertical spread. It contains two calls with the same expiration but different strikes.

The strike price of the short call is higher than stdategy strike of the long call, which means this strategy will always require an initial outlay (debit). I have been trying out this strategy for couple of weeks. It is also probably the most basic and most popular of all option strategies. DescriptionA bear put spread is a type of vertical spread.

It consists of buying one put in hopes of profiting from a decline in the underlying stock, and writing another put with the same expiration, but with a lower strike price, as a way to offset some of the cost.




Strategy names buy option call put buy

Option strategy buy call buy put names


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