Why Sell Strangles with 30 Delta

Traders are selling naked options with high implied volatility in order to receive option premium. Selecting strikes 1 standard deviation away from the stock price give the seller 84% chance to keep the credit. Option Premium is not so big though. Are there ways to increase the premium collected? Instead of selling one option you can also sell two at […]

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High profits with Selling Strangles

For trading strangles you need a little more knowledge about selling options. Most likely you start with selling a naked put with the strike price just under the stock price. There are others who like to sell calls just a little above the stock price. You do this in the hope you can keep the credit which you received. A […]

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