Selling a put option gives you the right and the obligation to purchase the underlying asset at the strike price on expiration. A naked put means that a put writer does not have the necessary funds to purchase the...
Buying a put option gives you the right, but not the obligation, to sell the underlying asset at the strike price on expiration. When to use this strategy? When you are buying put options,...
A naked call (uncovered call, short call) options strategy means that a trader sold (wrote) a call option, without owning an underlying security (BTC or ETH). When to use this strategy? When you short...
Buying a call option gives you the right, but not the obligation, to purchase the underlying asset at the strike price on expiration. When to use this strategy? If you are extremely bullish, a...