Do you believe a stock is set to move sharply in the next few days, weeks or months? You don’t have to guess the direction if you initiate a strangle or a straddle. These options trading strategies ...
Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Thomas J. Brock is a CFA and CPA with more ...
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 ...
With earnings season right around the corner, options players might want to look into employing a long straddle strategy. A long straddle is typically used ahead of expected volatility (such as before ...
Option "straddles" on Microsoft's stock are priced for a slightly bigger-than-average one-day post-earnings move, and much less than the 6.1% move after last quarter's results. Straddles are pure ...
This past week's stock market rally was not surprising. That's because a specific type of option trade known as a “Straddle” is currently profitable. When Long Straddle* trading is profitable in a ...
Straddles on Alphabet's stock are priced for a one-day post-earnings move that is about 17% greater than the average move over previous 12 quarters. Straddlers are pure volatility plays, what involve ...
Investors who foresee renewed volatility in ether (ETH) and bitcoin BTC $71,515.09 can consider building an option strategy that profits from an increase in price turbulence. Markus Thielen, head of ...