Option Play Book - Long Call Iron Butterfly

The speaker discusses a variation of the butterfly spread known as the Iron Butterfly, or the Diamond butterfly.  To initiate the strategy you will buy 1 call, sell 2 calls further out of the money and buy 1 call even further out of the money.  This options strategy involves buying an equal number of long and short options.  The strategy is best utilized when the trader believes that the stock will only climb up to a certain point and stop.

Risk, breakeven points, and profit potential are also covered by the speaker in this video.
Tim Ord
Ord Oracle

Tim Ord is a technical analyst and expert in the theories of chart analysis using price, volume, and a host of proprietary indicators as a guide...

Tradingsim.com
Day Trading Simulator

Tradingsim.com provides the ability to simulate day trading 24 hours a day from anywhere in the world. TradingSim provides tick by tick data for...

Send this article to a friend.

Enter multiple addresses on separate lines or separate them with commas.