Tag Archives: ASX options

Written Option Strategies for a Volatile Market

With increased market volatility over the last 12 months it seams appropriate to have a look at some written option strategies to benefit from. Over the coming days I will cover:
  • Writing options – Call and Puts
  • Spreads including Bull Call Spreads, Bull Put Spreads, Bear Call Spreads and Bear Put Spreads
  • Combinations including Long Strangles, Short Strangles, Long Straddles and Short Straddles.
In each strategy I will cover how time decay and volatility affects the strategy. To start I will go over the basics of how volatility works, how time decay affects you, what effect dividends will have and how an interest rate change can affect your position. Once the strategies and basics are covered I will go over some advanced options parameters such as Deltas, Option pricing and Options Probability Calculators. Finally I will finish of with my entire Iron Condor Strategy document. As always if you have any questions along the way let me know.