➥ Hypergrowth Options Strategy Course:
A covered strangle consists of simultaneously selling a strangle and buying 100 shares of stock. Another way to interpret the covered strangle is the combination of a covered call and a short put. The covered strangle strategy is ideal for investors who wish to sell their shares at a higher price, or buy more at a lower price.
In this video, you’ll learn:
1. What are the characteristics of the covered strangle strategy?
2. What does the expiration risk graph look like for a covered strangle position?
3. How do covered strangle positions perform when the stock prices moves up, down, or sideways?
Also, you’ll see three real trade examples of covered strangles in action. As a result, you’ll know exactly what to expect from a covered strangle before trading one.
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