Strategies
Every strategy Tradient scans, with structures, examples, and management.
Iron Condor
10 min readSell an OTM put spread + an OTM call spread. Profit if the stock stays in a range. The classic high-IV income trade.
Covered Call
8 min readSell OTM calls against stock you own to collect premium. The simplest income strategy and the best on-ramp to options trading.
Cash-Secured Put
9 min readSell out-of-the-money puts on stocks you'd be happy to own. Collect premium if they don't get assigned, buy at a discount if they do.
Bull Call Spread
7 min readBuy an ATM call, sell a further-OTM call against it. Defined-risk bullish exposure cheaper than buying naked calls.
Bear Put Spread
7 min readBuy a higher-strike put, sell a lower-strike put. Defined-risk bearish exposure or a low-cost portfolio hedge.
Bull Put Spread
8 min readSell a higher-strike put, buy a lower-strike put. A bullish credit spread that pays you to be right (or even just not wrong).
Bear Call Spread
7 min readSell a lower-strike call, buy a higher-strike call. Bearish credit spread that profits if the stock holds below your short strike.
Long Straddle
8 min readBuy an ATM call and an ATM put on the same expiration. Profit from large moves in either direction.
Short Strangle
9 min readSell an OTM put and an OTM call. Undefined-risk premium-selling for traders comfortable with margin and active management.
How to choose a strategy
8 min readA decision matrix that maps your view (direction × volatility × catalyst) to the right Tradient strategy.
Long Call
6 min readBuy a call option. The simplest bullish bet with defined risk and unlimited upside.
Long Put
6 min readBuy a put option. Bearish bet with defined risk — profit when stocks fall.
Naked Call
7 min readSell OTM calls to collect premium. High-income, unlimited-risk strategy for experienced traders.
Married Put
6 min readBuy stock plus a protective put. Bullish with a guaranteed floor on your downside.
Protective Call
6 min readShort stock plus a long call. Bearish with a cap on upside risk if you're wrong.
Short Straddle
8 min readSell an ATM call and ATM put. Maximum theta capture with unlimited risk — the high-conviction income play.
Long Strangle
7 min readBuy an OTM call and OTM put. Profit from a big move in either direction — cheaper than a straddle.
Iron Butterfly
8 min readSell an ATM straddle and buy OTM wings. Higher credit than an iron condor but a narrower profit zone.
Call Butterfly
7 min readBuy 1 lower call, sell 2 middle calls, buy 1 higher call. A cheap directional bet on a pinned target.
Put Butterfly
7 min readBuy 1 higher put, sell 2 middle puts, buy 1 lower put. Mirror of the call butterfly for range bets.
Collar
7 min readOwn stock, buy a protective put, sell a covered call. Cap both downside and upside for low or zero net cost.
Long Call Calendar
8 min readSell a near-term call, buy the same-strike call further out. Profit from front-month time decay.
Long Put Calendar
7 min readSell a near-term put, buy the same-strike put further out. Time-decay play using puts.
Long Call Diagonal (PMCC)
8 min readBuy a deep ITM LEAP call, sell a near-term OTM call. Poor man's covered call — leveraged income.
Long Put Diagonal
7 min readBuy a deep ITM LEAP put, sell a near-term OTM put. Bearish income with leveraged downside exposure.
Jade Lizard
7 min readSell an OTM put and a bear call spread — collect premium with no upside risk. A popular income strategy with a bullish lean.
Risk Reversal
6 min readSell an OTM put to fund an OTM call — zero-cost bullish exposure that behaves like owning stock.
Ratio Put Spread
8 min readBuy one ATM put and sell two OTM puts — enter for a credit with bearish bias. Profits if the stock falls moderately.
Covered Straddle
7 min readOwn 100 shares and sell an ATM straddle — double the premium of a covered call. The 'Wheel on Steroids' for aggressive income seekers.
Broken-Wing Butterfly
8 min readAn asymmetric butterfly with unequal wing widths — enter for a credit with a directional lean. Risk is defined but tilted to one side.
ZEBRA
7 min readZero Extrinsic Back Ratio — buy 2 deep ITM calls and sell 1 ATM call. Synthetic stock replacement with near-zero time decay.
Funded Long Call
7 min readSell a bull put spread to fund a long OTM call — zero-cost or small-credit directional exposure with defined downside risk.