       |
|
Options Trading Chart:
Take a view on the market/stock and anticipate the volatility..|
Your
view....
|
Bullish
|
Bearish
|
Undecided
|
|
Volatility
Rising
|
Buy a Call | Buy a Put | Buy a call and Buy a Put at the same strike (Long Straddle) or at different strikes (Long Strangle) |
|
Volatility Falling |
Sell a Put | Sell a Call | Sell
a call and sell a put at the same strike (Short Straddle) or at different strike (Short Strangle) |
|
Volatility
Undecided
|
Buy a call
and sell a call at a higher strike OR Buy a put and sell a put at a
higher strike. Or buy a future contract |
Buy a put
and sell a put at a lower strike OR Buy a call and sell a call at a
lower strike. Or sell a future contract |
Go to Las Vegas and gamble there. It will give you at least some more fun. |