Question
Compared to a straddle, a strangle can be significantly cheaper. What is the trade-off (i.e. what are you giving up)? Some of the profit around
Compared to a straddle, a strangle can be significantly cheaper. What is the trade-off (i.e. what are you giving up)?
Some of the profit around the current stock price.
Some of the profit when the stock price moves in either direction.
Some of the profit when the stock goes up.
Some of the profit when the stock price goes down.
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Microeconomics An Intuitive Approach with Calculus
Authors: Thomas Nechyba
1st edition
978-0538453257
