Protective Put Strategy For Futures Options In Different Scenarios

by David Jenyns on March 7, 2006

Protective Put Strategy For Futures Options In Different Scenarios
Like other strategies, the collar can be leaned toward the investor’s perception of a corporate stock options direction and strength. Lets look at the potential leans that can be taken. Say that you have a very strong feeling the XYZ is going to go up. Instead of buying a put and selling a call with strikes that are roughly equidistant from the corporate stock options price, you would sell a call that is further out-of-the-money.

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