An option trader looking to profit from a relatively stable


1. An option trader looking to profit from a relatively stable stock market with very little upward or downward movement can (hint: the forecast is for neutral price action, a flat market) :

Adopt short straddle strategy

Use a swap contract

Short futures contracts

Adopt long straddle strategy

2. Which of the following describes a short position in an option?

A position in an option lasting less than one month

A position where an option has been sold

A position in an option lasting less than six months

A position in an option lasting less than three months

Request for Solution File

Ask an Expert for Answer!!
Financial Management: An option trader looking to profit from a relatively stable
Reference No:- TGS02830431

Expected delivery within 24 Hours