Learn about the put calendar strategy, where traders sell a short-term put option and buy a longer-dated one, optimizing profit through time decay and volatility.

Derivatives are instruments that obtain value based on the price of an underlying asset, such as a stock, bond, ETF, or commodity. Stock option contracts are securities that give traders the choice of ...

Option pricing can be complicated, as it depends on several key factors. Here, we unpack the two key principles of how options’ premiums are derived. Learn how options are evaluated and what affects ...