Ads
related to: option trading simple example diagram software reviews and ratingsinteractivebrokers.com has been visited by 100K+ users in the past month
Search results
Results from the WOW.Com Content Network
For example, a bull spread constructed from calls (e.g., long a 50 call, short a 60 call) combined with a bear spread constructed from puts (e.g., long a 60 put, short a 50 put) has a constant payoff of the difference in exercise prices (e.g. 10) assuming that the underlying stock does not go ex-dividend before the expiration of the options.
A condor is a limited-risk, non-directional options trading strategy consisting of four options at four different strike prices. [1] [2] The buyer of a condor earns a profit if the underlying is between or near the inner two strikes at expiry, but has a limited loss if the underlying is near or outside the outer two strikes at expiry. [2]
All the options have the same expiration date. At expiration the value (but not the profit) of the butterfly will be: zero if the price of the underlying is below (X − a) or above (X + a) positive if the price of the underlying is between (X - a) and (X + a) The maximum value occurs at X (see diagram).
The post 6 Stock Option Trading Strategies to Consider appeared first on SmartReads by SmartAsset. ... Naked call options, for example, can put investors at risk when underlying stock prices ...
Like much of the industry, Ally has reduced its commissions, slashing its options pricing to a simple $0.50 per contract, and you won’t need to be a volume player to get this better-than-average ...
Here are some of the best stocks for options trading. Find out which stocks are experiencing some of the highest trading volume among options traders. ... Consumer electronics and software ...
Ads
related to: option trading simple example diagram software reviews and ratingsinteractivebrokers.com has been visited by 100K+ users in the past month