Category: Tutorials

Long Strangle Strategy - Typical P&L
Long Strangle – Profit from Market Movements with Options Trading [Expert Tips]
There are moments in which you know that a given stock is going to move significantly, but the direction in which this may happen…
From Options Expiration to Settlement
Options Settlement: How It Works [Must-Know Facts]
Options settlement is a basic concept to understand if you plan to enter the derivative market. Knowing about options settlement time and its mechanics…
Short Straddle Strategy - Typical P&L
How Does the Short Straddle Strategy Work? A Beginner-Friendly Breakdown [Guide]
One of the most appealing aspects of options trading is that you don’t necessarily need the underlying asset to move significantly to profit. The…
typical long put P&L
Long Put – A Strategy Profiting from Bearish Phases [Example Included]
One of the very first strategies anyone generally meets when learning about options trading is the long put. However, its popularity does not mean…
Long Box Spread - Typical P&L
Box Spread Strategy Explained [Focus on Key Elements]
If you’re looking for an arbitrage opportunity in the options market, the box spread strategy may be what you need. This approach combines a…
mmm new high
Use a Backtest to Build a 52-Week High or Low Options Trading Strategy [Free Backtest File]
When the trend is strong, there could be either trend-following or trend-reversal opportunities at a stock’s 52-week highs and lows. Using our backtest file,…
BID ASK LEVEL ADJUSTMENT
The Role of Bid vs Ask in Options [From Theory to Practice]
One of the very first concepts a financial trader will encounter is that of the bid and ask price. Bid vs ask in options…
low risk option strategies table
Generating Income with a Low Risk Options Strategy
Many traders look for ways to generate income using a low risk options strategy. This guide unpacks the safest options strategy, explores the myth…
Protective Call Strategy - Typical P&L
Protective Call – A Way to Safeguard Your Short Position with Options
One of the main cons of going short on a stock is the risk of unlimited loss if prices rise unexpectedly. A protective call…
How to Calculate Max Pain in Options
The Basics of Max Pain in Options [Essential Knowledge]
The concept of “max pain” is a recurring one for traders. Max pain in options refers to a theory where stock option prices gravitate…
long straddle typical
Long Straddle Strategy Explained: Tips for Options Traders [with Real-Life Example]
The long straddle strategy is certainly among the most popular choices of options traders. The idea behind this approach is straightforward: buy both a…
tsla historical beta
Backtesting Beta for Volatility Insights: Build Smarter Options Trading Strategies and Portfolio Ideas
As an investor, it is likely you have already come across high-beta stocks. These stocks can significantly overperform in bull markets and underperform in…