Online Options Trading Search

Thursday, November 20, 2008

BEARISH STRATEGIES

BEARISH STRATEGIES - when one is having a bearish view on the direction of the underlying, and expects the price of the underlying to fall over time. Various strategies under this are:
1. Long Put
2. Short Call
3. Bear Spread (using Call OR Put)
4. Bearish Combo / Synthetic Short (using Call AND Put)
5. Put BackSpread (Ratio Spread)
6. Short Call Spread + Put
7. Long Straddle + Call

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