Learn the Strangle Options Strategy: Definition and Example Explained
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Learn the Strangle Options Strategy: Definition and Example Explained
A strangle is a popular options strategy that involves holding both a call and a put on the same underlying asset. It yields a profit if the asset’s price moves dramatically either up or down.
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In this video, we'll delve into the world of option trading with a focus on a strategy known as the short strangle. In a short strangle, you sell a put and a call option that are both out-of-the-money. Watch the video to know what exactly the short strangle is and how it's used by option sellers. We'll explore the key differences between the short strangle and short straddle option strategy. Keep in mind, this strategy comes with risks. It's important to understand all aspects thoroughly. Rememb
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