Long Call Condor
Long Call Condor Long Call Condor Table of Contents Basics Concepts – Long Call Condor Description – Long Call Condor The Long Call Condor involves a low strike long call, a lower middle ITM short call, a higher middle OTM short call, and a higher OTM long call. The resulting is profitable in the event […]
Long Put Condor
Long Put Condor Long Put Condor Table of Contents Basics Concepts – Long Put Condor Description – Long Put Condor The Long Put Condor involves a low strike long (OTM) Put , a lower middle OTM short Put , a higher middle ITM short Put , and a higher strike ITM long Put . The […]
Modified Call Butterfly
Modified Call Butterfly Modified Call Butterfly Table of Contents Basics Concepts – Modified Call Butterfly Description – Modified Call Butterfly The Modified Call Butterfly is identical to the Long Call Butterfly with the exception that the distance between the middle and higher strike calls is closer than that of the lower and middle strikes . […]
Modified Put Butterfly
Modified Put Butterfly Modified Put Butterfly Table of Contents Basics Concepts – Modified Put Butterfly Description – Modified Put Butterfly The Modified Put Butterfly is identical to the Long put Butterfly with the exception that the distance between the middle and Lower strike puts is closer than that of the higher and middle strikes . […]
Call Ratio Backspread
Call Ratio Backspread Call Ratio Backspread Table of Contents Basics Concepts – Call Ratio Back spread Description – Call Ratio Backspread The Call Ratio Back spread is an exciting strategy that enables us to make accelerated profits provided that the stock moves sharply upwards. Increasing volatility is very helpful because we’re net long in calls. […]
Guts
Guts Guts Table of Contents Basics Concepts – Guts Description – Guts The Guts is a simple adjustment to the Strangle, but this adjustment makes it more expensive. Instead of buying OTM options, we buy ITM calls and puts, which creates a higher cost basis. We buy higher strike puts and lower strike calls with […]
Put Ratio Backspread
Put Ratio Backspread Put Ratio Backspread Table of Contents Basics Concepts – Put Ratio Back spread Description – Put Ratio Backspread The Put Ratio Back spread is an exciting strategy that enables us to make accelerated profits provided that the stock moves sharply downwards. Increasing volatility is very helpful because we’re net long in Puts. […]
Strap
Strap Strap Table of Contents Basics Concepts – Strap Description – Strap The Strap is a simple adjustment to the Straddle to make it more biased to the upside. Only do a Strap on a stock that is close to making an announcement, such as the week before an earnings report. The closer we get […]
Ratio Call Spread
Ratio Call Spread Ratio Call Spread Table of Contents Basics Concepts – Ratio Call Spread Description – Ratio Call Spread The Ratio Call Spread is the opposite of a Call Ratio Backspread in that we’re net short options. Increasing volatility is harmful to this strategy because of our exposure to uncapped risk. The best thing […]
Strip
Strip Strip Table of Contents Basics Concepts – Strip Description – Strip The Strip is a simple adjustment to the Straddle to make it more biased toward the downside. Only do a Strip on a stock that is close to making an announcement that may cause a surprise jump in the stock price either way, […]