What is a Risk Reversal Strategy?

What is a Risk Reversal Strategy?

Today you will learn about the risk reversal. It can be used to protect or hedge your stock, position, or portfolio.   A risk reversal can be useful to guard against a major market move.  Risk reversals can also be used as a directional position. A risk reversal can...
What is a Broken Wing Butterfly?

What is a Broken Wing Butterfly?

The broken wing butterfly (BWB) is an advanced strategy involving the use of multiple options.  The butterfly strategy is generally thought of as a neutral to slightly directional strategy, which will often benefit when the market does not move too much in price. A...