A bullish strategy where an investor buys a call option, giving them the right to buy an asset at a specific price before expiration, benefiting from price increases.
A bearish strategy where an investor buys a put option, giving them the right to sell an asset at a specific price before expiration, benefiting from price decreases.
A conservative strategy where an investor owns the underlying stock and sells a call option against it, generating income but limiting potential upside.
A bullish strategy where an investor sells a put option, obligating them to buy the underlying asset at a specific price if assigned, collecting premium while expecting the price to stay above the strike price.
A bearish strategy where an investor sells a call option, obligating them to sell the underlying asset at a specific price if assigned, profiting from the premium if the price stays below the strike price.
A bullish strategy that involves buying a call option and selling another at a higher strike price, limiting potential gains but reducing upfront cost.
A bearish strategy that involves buying a put option and selling another at a lower strike price, limiting potential gains but reducing upfront cost.
A bearish strategy where an investor sells a call option and buys another at a higher strike price, collecting premium and capping the risk to the difference between strike prices.
A bullish strategy where an investor sells a put option and buys another at a lower strike price, collecting premium while limiting risk.
A neutral strategy where an investor buys one in-the-money call, sells two at-the-money calls, and buys one out-of-the-money call, profiting from low volatility and price staying near the middle strike price.
A strategy that involves buying an out-of-the-money call and put while selling further out-of-the-money call and put options, expecting a move in the underlying asset in any direction but wanting to limit risk.
A range-bound strategy that involves selling an out-of-the-money call and put while buying further out-of-the-money call and put options, expecting the price to stay in the range and profit from high volatility.
A time-based strategy where an investor buys a long-term option and sells a short-term option at the same strike price, benefiting from time decay in the short-term option.
A time-based strategy where an investor sells a long-term option and buys a short-term option, benefiting from time decay in the longer-term option.