Volatility options strategies profit from a large move in either direction — useful around earnings or major news when you expect a swing but not which way. They include the long straddle and strangle.
Bullish · Bearish · Neutral & Income · Volatility
A long straddle buys a call and a put at the same strike to profit from a large move in either direction — often used around earnings or major events.
A long strangle buys an out-of-the-money call and put. Cheaper than a straddle but needs a bigger move to pay off — a low-cost bet on volatility.
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