The options are ideal tools for position trading as well risk management. These options give their holders some right to buy and sell their underlying assets at a quoted price on or before the expiration date. A call gives a holder the right to buy an option while a put enables a holder to sell an option. The three major option strategies are as listed below in the various case studies.
Bullish option strategy
The McDonald Company has, in past five years, expected the underlying stock price of their diversified commodities to go upward. For this very reason, the company financial management ...