Deep Dive into Option Strategies
One of the biggest advantages of options is the ability to combine them into structured strategies. Let’s expand on some common and advanced ones:
A. Single-Leg Strategies
These involve buying or selling just one option.
Long Call: Buy a call option expecting prices to rise.
Low risk (limited to premium paid).
High reward if stock surges.
Long Put: Buy a put option expecting prices to fall.
Best for bearish outlook.
Acts as portfolio insurance.
Short Call (Naked Call): Sell a call without owning stock.
You receive premium.
Unlimited risk if stock rises sharply.
Short Put (Naked Put): Sell a put option.
You receive premium.
Big risk if stock collapses.
B. Multi-Leg Strategies (Spreads & Hedging)
Bull Call Spread: Buy a lower strike call & sell a higher strike call.
Profits if stock rises moderately.
Lower risk than naked call.
Bear Put Spread: Buy higher strike put & sell lower strike put.
Works in moderately bearish markets.
Covered Call: Own stock + sell call option.
Generates steady income.
Capped upside potential.
Protective Put: Own stock + buy put option.
Insurance against stock falling.
One of the biggest advantages of options is the ability to combine them into structured strategies. Let’s expand on some common and advanced ones:
A. Single-Leg Strategies
These involve buying or selling just one option.
Long Call: Buy a call option expecting prices to rise.
Low risk (limited to premium paid).
High reward if stock surges.
Long Put: Buy a put option expecting prices to fall.
Best for bearish outlook.
Acts as portfolio insurance.
Short Call (Naked Call): Sell a call without owning stock.
You receive premium.
Unlimited risk if stock rises sharply.
Short Put (Naked Put): Sell a put option.
You receive premium.
Big risk if stock collapses.
B. Multi-Leg Strategies (Spreads & Hedging)
Bull Call Spread: Buy a lower strike call & sell a higher strike call.
Profits if stock rises moderately.
Lower risk than naked call.
Bear Put Spread: Buy higher strike put & sell lower strike put.
Works in moderately bearish markets.
Covered Call: Own stock + sell call option.
Generates steady income.
Capped upside potential.
Protective Put: Own stock + buy put option.
Insurance against stock falling.
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Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
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Hello Everyone! 👋
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Bài đăng liên quan
Thông báo miễn trừ trách nhiệm
Thông tin và ấn phẩm không có nghĩa là và không cấu thành, tài chính, đầu tư, kinh doanh, hoặc các loại lời khuyên hoặc khuyến nghị khác được cung cấp hoặc xác nhận bởi TradingView. Đọc thêm trong Điều khoản sử dụng.