Explore Your Options by Jay Kaeppel
STRADDLE ME THIS
I am interested in trading straddles but am unsure what criteria I should focus on when deciding which trade to make.
A straddle involves buying a call and put at the same strike price and of the same expiration month. The position makes money if the underlying security moves far enough in one direction to earn more profit on the profitable option than it loses on the unprofitable option ...