Although not strategies that we employ in the Short-Term Options Room, straddles and strangles can be very viable options strategies if used in the right circumstances.
Click the video below to hear about the similarities and differences between the two strategies and when the best time to use them is.
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Ever wonder why option premiums rise before binary events in the stock market? It’s not uncommon for option prices to spike ahead of major announcements like: For context, I like to describe option premium as the difference between the contract’s price and intrinsic value. It’s essentially what buyers pay for the “hope” that an option […]
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When the markets move, the Delta Greek can be one of the most valuable metrics to options traders. There’s a particular correlation between the Delta Greek and options premium that can help traders find out how much the price of an option is expected to change. From my personal experience, I believe this pattern can […]
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Written By: Howard Greenberg As everyday traders put their trading plans into action for 2026, penny stocks might not be on many of their radars. It’s totally understandable why penny stocks may not appeal to the more calculated seasoned traders. Their reputations for susceptibility to manipulation, extreme volatility, and low liquidity make them way too […]
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After seeing how hard — and fast — the market has rallied, could a market pullback be on the horizon? Scott Bauer believes there’s a likely chance it could happen…and he would actually welcome a potential selloff. He went on the Cow Guy Close show this week to discuss why a market pullback might not […]
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Recent readings from the CBOE’s Volatility Index — commonly known as the VIX — have some traders on edge. While the market has been rallying this month, many traders are treading very carefully. Some believe the VIX is too high for comfort and are concerned its current levels could be a sign this rally is […]
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For more than two decades, a single regulation kept millions of everyday investors on the sidelines of day trading. On April 14, 2026, that changed. The SEC approved FINRA’s proposal to eliminate the Pattern Day Trader (PDT) rule, scrapping the $25,000 minimum account balance requirement that had defined the boundaries of retail day trading since […]
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