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A long straddle

merrisara

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A long straddle

A long straddle

▸ consists of selling and writing an equal number of puts and calls with different strike prices but the same expiration date and the same underlying security.

▸ is a strategy based on the expectation that the price of the underlying security will be relatively constant.

▸ consists of buying a call at one strike price and then writing a call at a higher strike price.

▸ is a strategy that produces profits when the price of the underlying security moves significantly in either direction.

Textbook

Fundamentals of Investing

Edition: 14^th

Authors: Zutter, Smart

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kayekalico

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More solutions for this book are available here

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merrisara Author

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2 years ago

Thank you, thank you, thank you!

Hellish Lover

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Thanks for your help!!

DaiwalkerX

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This helped my grade so much Perfect

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