The allure of the naked put strategy in options trading lies in its potential rewards, but it doesn’t come without its set of challenges. Let’s distill the key pros and cons. Pros. Raking in。
A naked put involves writing naked put strategya put option without the reserved cash on hand to purchase the underlying stock. This strategy entails a great deal of risk and relies on a steady or rising stock。
A naked put (NP) is a bullish options strategy wherein the investor writes (sells) a put option without having a short position on the underlying stock. Inaked put strategynvestors profit from the option。
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