The long call butterfly spread is a defined-risk, limited-profit options strategy designed for traders who expect minimal price movement in the underlying asset. Unlike the short call butterfly, which ...

A long call butterfly is entered when a trader thinks a stock will not rise or fall by much between trade initiation and expiration. When using calls, the trade is constructed by buying an ...

Stocks can be very exciting when they trigger breakouts and breakdowns, forming strong price trends. However, the reality is that stocks usually tend to be rangebound in a consolidation. Whether it's ...

I enjoy mixing metaphors, in this case an early 90’s Gus Van Sant film and alternative investments. I believe that too much of the coverage of derivatives markets either overcomplicates or understates ...