这个策略中心思想是利用sell put和spread的credit cover掉 upside risk，只留下downside risk，令得probabi...
Max. Risk =Margin - Net Credit = $5 - $0.75 = $4.25, if stock is < $85 Max. Profit =Net Credit = $0.75, if stock is > $90 Break Even =Higher Strike - Net Credit = $90 - $0.75 = $89.25 Advantages of the Bull Put Credit Spread Strategy: ...
Valuation of a Credit Spread Put Option: The Stable Paretian model with CopulasFinancial institutions are making a concerted effort to measure and manage credit risk inherent in their large defaultable portfolios. This is partly in response to regulatory requirements to have adequate capital to meet ...
The bull put spread can be tailored to one’s risk profile. A relatively conservative trader may opt for a narrow spread where the put strike prices are not very far apart, as this will reduce the maximum risk as well as the maximum potential gain of the position. An aggressive trader ma...
这个策略中心思想是利用sell put和spread的credit cover掉 upside risk,只留下downside risk,令得probability of profit比一般的iron condor大,起码不用去担心两边的risk,需要较少的buying power和commission;利用volatility skew,通过short put最大限度地赚取Vega short的钱。
A bull put spread involves selling one put option while buying another at a lower strike price, both with the same expiration date. This strategy allows traders to benefit from a stock's upward movement or simply remaining stable while limiting the risk of losses. The two put options form a...
Find Options Strategies With Similar Risk Profiles Long Put Ladder Spread - ClassificationType of Strategy : Bearish | Type of Spread : Vertical Spread | Debit or Credit : Debit The Long Put Ladder Spread is part of the "Ladder Spreads" family. Ladder Spreads add an additional further out ...
While the Bear Put Spread offers a limited risk approach to profiting from a stock’s decline, it is essential to be aware of the potential risks: If the stock price rises above the strike price of the short put option, the strategy will result in a loss ...
The Bull Put Spread is a vertical spread strategy where the investorsells a higher strike price put option, shown as point B, andbuys a lower strike price put option, point A, within the same expiration month. The investor will receive a premium or credit, as the higher strike price put...
9 RegisterLog in Sign up with one click: Facebook Twitter Google Share on Facebook Put-call ratio The ratio of thevolumeofput optionstradedto thevolumeofcall optionstraded, which is used as anindicatorofinvestorsentiment (bullishorbearish). ...