Straddle - wait for flat trading day for amicable option premium
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Hi everyone, with the volatility we've seen in the energy sector, I think straddle can provide an excellent tool exploiting some of that unpredictability. Premiums on some ETFs and energy stocks can be pretty harsh, I would wait for a flat trading day and try to take advantage of the discounted option premiums to straddle. Be weary of the theta on these, if you're straddling, make sure you're watching the contracts closely. Not uncommon for some folks to make some money on both sides of the contract when things get this unpredictable.
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.