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 ...

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 ...

James Chen, CMT is an expert trader, investment adviser, and global market strategist. Samantha (Sam) Silberstein, CFP®, CSLP®, EA, is an experienced financial consultant. She has a demonstrated ...

Options sold as “volatility plays” hide a structural flaw—one retail traders often discover too late, after the market moves, premiums collapse, and the trade that seemed safe quietly turns costly.

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 ...

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 ...

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 ...

Options allow for greater flexibility when it comes to expressing a wide variety of market outlooks. Implied volatility tends to rise into earnings events, providing options sellers with potential ...

Plus, a list of another 19 stocks made good straddle plays in 2025 Options trading continued to grow in 2025, setting another record for trading volume. While lists of the year's best and worst stock ...