Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Thomas J. Brock is a CFA and CPA with more ...

We recently published a performance review of at-the-money (ATM) NDX straddles with between one and five days left to expiration. One finding was that consistent sellers of 3-Day, 4-Day, and 5-Day NDX ...

It is no secret that short-dated index options have taken the trading world by storm over the past couple of years. Most of the focus is on very short-dated index options that have a day or less to ...

Do you believe a stock is set to move sharply in the next few days, weeks or months? You don’t have to guess the direction if you initiate a strangle or a straddle. These options trading strategies ...

Options have been more popular lately than ever before. This increase in volume is largely attributed to the rise in 0DTE options, which stands for zero days to expiration, and consists of buying an ...

An option is a derivative or financial contract that gives the holder the right (but not the obligation) to purchase or sell an underlying asset at an agreed-upon price by a specified date in the ...

In 2023, we saw a surge in options volume, setting yet another record. As Cboe Global Markets, total volume across Cboe's four options exchanges was 3.7 billion contracts in 2023, the fourth ...

When traders first start using options, they often employ them either as a way to take a directional view on an asset (buying a call if they expect it to rise or a put if they expect it to fall) or as ...