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When selling strangles, traders have several choices when deciding their short strikes. One popular choice is the 16 Delta put and call because this represents a one standard deviation move. What happens if we sell strangles at the two standard deviation mark?
Today, Tom and Tony discuss the pros and cons of selling two standard deviation strangles.
When selling strangles, traders have several choices when deciding their short strikes. One popular choice is the 16 Delta put and call because this represents a one standard deviation move. What happens if we sell strangles at the two standard deviation mark?
Today, Tom and Tony discuss the pros and cons of selling two standard deviation strangles.