Straddle or Die: Hedge Your Risk or Increase It?
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Straddle or Die: Hedge Your Risk or Increase It?
April 9, 2013Straddling is particularly a risky business in the already extremely high risk trading environment. Make a mental note that the Cysec-licensed binary options brokers do not operate the same way traditional brokers do, or for that matter like the big exchanges such as NADEX or CBOE. When you straddle you hold both a call and a put position with the same expiration date & strike price. This strategy should only be used if you believe there will be a significant fluctuation (up or down swing), but you can’t decide on which direction. Now, To further compound an already complicated situation, stock …
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