Series 7 - General Securities Representative Exam
Preview Mode
A trader thinks that the next release of unemployment data will be short of expectations. He thinks the market will sell of sharply as a result. Which one of these strategies might he employ?
Sell puts, Sell call vertical spreads, Buy puts, Buy put vertical spreads
A
Sell puts, Buy call debit spreads, Buy puts, Buy put vertical spreads
B
Buy call debit spreads, Buy puts, Buy put vertical spreads
C
Sell call vertical spreads, Buy puts, Buy put vertical spreads
D
Explanations
Sell puts & Buy call debit spreads are bullish