Series 7 - General Securities Representative Exam
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A trader is bearish on JSLS stock and options volatility is high. What might the trader do to benefit from the high options volatility?
Buy Puts
A
Sell Calls
B
Sell Puts
C
Buy Straddle
D
Explanations
When options volatility is high, options prices are high. The trader can benefit from the high volatility by creating a bearish position by selling calls.
Pricing
Basic
Part of the questions for each course
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- Course
- Questions
-
- SIE
- 20 of 150
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- Series 6
- 30 of 500
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- Series 7
- 50 of 625