A bull put spread is an options strategy where you sell a put option at a higher price and buy one at a lower price for the same asset and expiration date. This helps generate income and limits losses ...
Explore 10 essential options strategies every investor should know, from basic calls and puts to advanced spreads, risks, rewards, and real-world use cases explained.
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 ...
Traders that think AppLovin will stay above 660 for the next few weeks could have recently sold a Jan. 16-expiration 660-650 bull put spread for around $1.60. Selling this spread would generate ...
Options are an increasingly popular way for traders to play the market, and it’s no surprise why. Options let you make some big money if you’re right, potentially multiplying your money, perhaps in ...
GOOY implements a covered Call (or Call Spread) strategy on Alphabet (GOOGL shares). GOOY massively underperformed GOOGL due to its capped upside and relatively low premiums collected for sold Calls ...
Bull call spreads involve buying and selling call options at different strike prices. This strategy caps potential losses to the net debit paid while also capping gains. Used by investors expecting ...
A bull call spread is an options strategy used to profit from moderate increases in the underlying asset’s price while limiting risk. It involves buying a call option at a lower strike price and ...