Long Strangle
Lower-cost volatility strategy with wider profit range.
Intermediate
Market Outlook
neutral
Family
volatility
Capital Req
medium
Risk Profile
volatile
Strategy Overview
Key characteristics and when to use
Structure
Buy OTM Call + Buy OTM Put
Greek Profile
Delta neutral, negative theta, positive vega
Characteristics
DebitNeutralIntermediateVolatility
Profit & Loss Formulas
Mathematical breakdown
Max Profit
Unlimited
Max Loss
Total premium paid
Breakeven
Call strike + total premium OR Put strike - total premium