The world of options trading affords investors a spectrum of strategies to hedge risks or speculate on market movements. Among these, put options stand out as a powerful tool for those anticipating a downturn in a particular stock or the market as a whole. The essence of leveraging put options successfully lies in the selection of an appropriate strike price. Understanding this concept is critical for anyone looking to profit from the bearish bets that put options can facilitate.
What Is a Put Option?
A put option grants the holder the...
The world of options trading affords investors a spectrum of strategies to hedge risks or speculate on market movements. Among these, put options stand...