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 ...
A strangle is a popular options strategy that involves holding both a call and a put on the same underlying asset. It yields ...
A short straddle is an advanced options strategy used when a trader is seeking to profit from an underlying stock trading in a narrow range. Since it involves having to sell both a call and a put, the ...
An option gives traders the right, but not the obligation, to trade the underlying asset that it is linked to. Whether the underlying asset moves up or down in value, an options straddle is a trading ...
Finding optimal swing trades can be tricky when the stock market is chopping in a range. However, volatility option strategies that benefit from time decay can be a great choice, especially if implied ...
When traders first start using options, they often employ them either as a way to take a directional view on an asset (buying a call if they expect it to rise or a put if they expect it to fall) or as ...
When the stock market becomes a roller coaster, the gains and losses both get larger. Traders have the potential to make profits during volatility, but getting it wrong can result in losses. Some ...
Option trading can deliver tremendous profits, but the flip side of those gains is the potential for tremendous losses, since ...
A synthetic short strategy allows investors to simulate risk/reward Savvy traders know that selling a stock short isn't without its downsides. Namely, you have to borrow shares from a broker. However, ...
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 ...
Jack Daniel’s maker, Brown-Forman, reported Q4 2025 results this morning before the markets opened. The news was not comforting for long-time shareholders. As a result, its shares are down more than ...