Spread Betting Magazine - v07

Page 53

Options Corner

Options Corner The optimum time to consider Purchasing Straddles & Strangles Last month in Options Corner we covered how selling Straddles (an at-the-money Put & Call option combination) and Strangles (an out-of-the-money Put & Call option combination) could potentially be avenues to make money in largely range bound or trendless markets - akin to what we have been experiencing so far during 2012. This month, we take a look at how Straddles and Strangles can be useful in certain environments and finish up with a trade recommendation for implementing such a strategy.

July 2012 | www.financial-spread-betting.com | 53


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