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 ...
Traders typically think of options as a way to quickly multiply their money, and sure, they can do that. But options can also be used to generate income, and they can offer lower-risk ways to provide ...
Calendar spreads are an option trade that involves selling a short-term option and buying a longer-term option with the same strike. Traders can use calls or puts and they can be set up to be neutral, ...
In this article, we explore a quantitative approach to spread trading with a slightly different setup than the classic model. Typically, spread trading involves going long on one asset and ...
In a calendar spread, you buy a longer-term expiry option and sell a nearer-term option with the same strike price and same option type Option writing in January is risky due to rising volatility ...
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 ...