A short strangle can collect premium from both sides of an options market, but it also creates risk on both sides of the underlying price.
You sell an out-of-the-money put.
You sell an out-of-the-money call.
You collect premium from both contracts.
If the underlying stays between the two strik
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LEAP options give traders more time than standard short-dated options, but more time does not make a trade automatically safer.
A LEAP can have an expiration date one year or more into the future.
That longer time horizon can reduce the immediate pressure of time decay.
It can give a bullish or
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Options can give traders exposure to stock movement with less upfront capital than buying 100 shares outright.
That is one reason options are attractive.
You may be able to buy a call option for a fraction of the cost of purchasing 100 shares.
You may be able to buy a put option to protect stoc
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