
On Thursday’s PreMarket Prep broadcast, the hosts of the show discussed how traders can use weekly options pricing to calculate the expected move in a stock following an earnings report.
What Is A Straddle? A straddle is a two-sided options strategy that consists of the purchase of both a put and call option for the same expiration date and strike price on the same underlying security. The strategy will only be profitable when the stock either rises or falls from the strike price by more than the total premium paid.