Contrary to popular opinion, there are low-risk short option strategies--and here’s how to make them work for you.
Is there such a thing as a low-risk short option strategy? Many traders and investors do not think so, but in fact there is one way to put together a short spread that will not break the bank. A combined covered call and uncovered put accomplish this, assuming that a few basic precautions are followed. First among these is....
About the Author
Michael C. Thomsett has written more than 70 books on investment and financial topics, including The Options Trading Body of Knowledge, Options Trading for the Conservative Investor, Stock Profits: Getting to the Core, Winning with Options, The Leaps Strategist , and the best-selling Getting Started in Options. His Investment and Securities Dictionary was named Outstanding Academic Book by Choice magazine.