#Strangle Stradgy on Binance'
The Strangle Strategy Explained
A strangle is a popular market-neutral options trading strategy used when you expect extreme price volatility but are completely unsure of which direction the market will move. [1]
How it is built: You simultaneously buy an out-of-the-money (OTM) Call Option (with a strike price above the current market price) and an out-of-the-money Put Option (with a strike price below the current market price). Both options share the exact same expiration date. [1]
The Goal: You want the underlying crypto asset's price to aggressively break out or break down far past either of your strike prices to offset the combined premium cost of both options. [1]
Strangle vs. Straddle: A straddle uses the exact same strike price for both options, making it more expensive upfront. A strangle uses different strike prices, lowering your upfront premium costs but requiring a much larger price move to reach profitability. [1]
$NVDA.US
$BNB
$DOGE
The Strangle Strategy Explained
A strangle is a popular market-neutral options trading strategy used when you expect extreme price volatility but are completely unsure of which direction the market will move. [1]
How it is built: You simultaneously buy an out-of-the-money (OTM) Call Option (with a strike price above the current market price) and an out-of-the-money Put Option (with a strike price below the current market price). Both options share the exact same expiration date. [1]
The Goal: You want the underlying crypto asset's price to aggressively break out or break down far past either of your strike prices to offset the combined premium cost of both options. [1]
Strangle vs. Straddle: A straddle uses the exact same strike price for both options, making it more expensive upfront. A strangle uses different strike prices, lowering your upfront premium costs but requiring a much larger price move to reach profitability. [1]
$NVDA.US
$BNB
$DOGE