A straddle is a neutral options strategy that entails purchasing a put option and a call option with the same strike price and expiration date for the underlying investment. A trader will profit from a long straddle when the price of the asset rises or falls by more than the total cost of the premium paid from the strike price. As long as the price of the underlying asset fluctuates drastically, the profit potential is practically limitless. In contrast to a strangle, which employs a call and put with separate strike prices, a straddle uses options with the same strike price.
As we all know, 2022 has been a painful year, and it continues to be so. What works during a bearish market are a few strategies: shorts, inverse ETFs, holding cash positions and day trading. Today we take a look at ATXI and see how we day traded it. Watch this video to get the technicals. Good trading! Trading Risk Disclaimer All the information shared is provided for educational purposes only. Any trades placed upon reliance of SharperTrades, LLC are taken at your own risk for your own account. Past performance is no guarantee. While there is great potential for reward trading stocks, cryptos, commodities, options, forex and other trading securities, there is also substantial risk of loss. All trading operations involve high risks of losing your entire investment. You must therefore decide your own suitability to trade. Trading results can never be guaranteed. SharperTrades, LLC is not registered as an investment adviser with any federal or state regulatory agency. This is