All Entries in the "Trading Strategies" Category
Trading Collars
Collar
A collar is an interesting strategy that is often employed by major investment banks and corporate executives. This position is made by selling a call option at one strike price and using the proceeds to purchase a put option at a lower price. The cost to the investor to make this trade, therefore, is essentially [...]
TickerWatcher | Jan 29, 2010 | Comments 0
4 Basic Option Trading Strategies
In Options 101 I covered option basics and its now time to review the 4 basic option trading strategies that form the underlying foundation for all advanced techniques. In future posts, I will cover each of these strategies in detail.
4 Basic Option Trading Strategies
1. Long Call (buy a call option) – Unlimited Reward & [...]
TickerWatcher | Jan 27, 2010 | Comments 1
