Explore 10 essential options strategies every investor should know, from basic calls and puts to advanced spreads, risks, rewards, and real-world use cases explained.

The Simplify Enhanced Income ETF uses options spreads to generate higher yields, but recent active trading strategies have led to significant losses. Retail investors must distinguish between fixed ...

Trading options is one of the best ways to benefit from fluctuating stock prices. By making calculated predictions and selling or buying options accordingly, you can gain a substantial profit. However ...

When traders first start using options, they often employ them either as a way to take a directional view on an asset (buying a call if they expect it to rise or a put if they expect it to fall) or as ...

In the classic science-fiction film “The Matrix,” the main character, Neo, learns a thought-provoking lesson from a wise child, who apparently uses telekinetic powers to bend a spoon. As the boy tells ...

A bull put spread is an options strategy where you sell a put option at a higher price and buy one at a lower price for the same asset and expiration date. This helps generate income and limits losses ...

The Alpha Architect 1-3 Month Box ETF (CBOE:BOXX) has accumulated $9.4 billion in assets since its December 2022 launch, ...

GOOY implements a covered Call (or Call Spread) strategy on Alphabet (GOOGL shares). GOOY massively underperformed GOOGL due to its capped upside and relatively low premiums collected for sold Calls ...

Options are an increasingly popular way for traders to play the market, and it’s no surprise why. Options let you make some big money if you’re right, potentially multiplying your money, perhaps in ...

Typically, once you’ve had enough (fun or frustration) with a speculative enterprise like troubled semiconductor giant Intel (INTC), it’s usually best to part ways. However, the market still seems ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...