The strategy involves the sale ... The $60 you netted from selling both options is your maximum potential profit on a short strangle. If the stock settles anywhere between the two sold strikes ...

The strategy involves selling a put option with a higher ... the maximum loss is limited to the combined premiums paid for both options. A Long Strangle option strategy also requires buying ...

I’ll consider both strategies. For those unfamiliar with the long strangle ... A short strangle is when you sell an OTM (out-of-the-money) call and put options that expire on the same day.

A long straddle is an options strategy that involves ... To create a short strangle, an investor would write (sell) out-of-the-money calls and puts for a particular security rather than buying ...

Wednesday’s unusual options activity included ... I’ve been testing a covered strangle strategy in recent weeks. This involves buying a stock, selling a call and put for income.

As one of the easiest multi-leg options strategies, the long strangle is both simple and effective ... seven Holds, and four Sell ratings. The average PLTR price target is $42.20, implying ...

When one thinks of unusual options activity, which I define as options expiring in a week or longer with a Vol/OI (volume/open interest) ratio of 1.24 or higher, Berkshire Hathawa ...

Here we'll highlight the straddle and strangle ... strategies to play a stock's major move. To learn even more ways to bet on big breakouts, check out our directory of Volatility Options Strategies.