Options assignment is a process in options trading that involves fulfilling the obligations of an options contract. It occurs when the buyer of an options contract exercises their right to buy or sell ...
Credit spreads might seem intimidating, but they're a lower-risk way to sell put premium A short put spread is a neutral-to-bullish options strategy that is usually initiated when the trader believes ...
If you’re familiar with the covered call options strategy, you know it’s a beginner-friendly way to generate consistent income. But what happens when the market moves unexpectedly, and your covered ...
Opposite of the short put spread, a short call spread is a neutral-to-bearish options strategy that is employed by traders who expect a stock to remain below a layer of resistance. This type of spread ...
Spread trading is a common tactic when dealing with options, and there are many spread strategies designed to pursue profit while mitigating risk. At the nexus of these strategies is the box spread. A ...
Trading options can be appealing for many reasons, but especially for the potential to multiply your money many times over. Options can also serve as a hedge against falling stock prices and allow ...
CSHI invests in T-bills and S&P 500 put option spreads to generate income. CSHI yields 6.2% and has low volatility and drawdowns. The fund may experience small losses during severe bear markets, but ...
A short put spread is a neutral-to-bullish options strategy that is usually initiated when the trader believes the underlying stock will hold above a firm layer of support. Also known as a "credit ...