Options Straddles vs. Strangles: The Basics of Volatility and Magnitude Strategies
Key Takeaways A long options straddle involves the purchase of a call and a put of the same strike and expiration date A long options strangle is a long out-of-the-money (OTM) call and a long OTM put of the same expiration date Time decay is a major risk consideration with options straddles and strangles Traders […]