derivatives strategies with technical indicators
TRANSCRIPT
Derivatives strategies with technical indicators
Bullish vertical spread using calls
A bull spread is created when the underlying view on the market is positive but trader would also like to reduce cost on his position.
Bearish vertical spread using puts
Strangle
• An options strategy where the investor holds a position in both a call and put with different strike prices but with the same maturity and underlying asset.
• This option strategy is profitable only if there are large movements in the price of the underlying asset.
Long strangle
When there is a large movement of marketprice in either direction.
