Index Option Strategies

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S & P 100 Strategies (OEX)

Buying an OEX call is one of the simplest and most popular strategies used by option investors employing OEX index options.


Buying an OEX put is one of the simplest and most popular bearish strategies used by investors employing OEX index options.


Buying an SPX straddle combines the benefits of both an OEX call and an OEX put purchase.


This spread allows an investor the opportunity to profit to a limited extent from a limited move in the level of the OEX, while having less capital at risk than with the outright purchase of a call option.


This spread allows an investor the opportunity to profit to a limited extent from a limited move in the level of the OEX, while having less capital at risk than with the outright purchase of a put option.


OEX Bear Put Spread: (PDF Download)

An investor who is bearish on the S&P 100 in the short term could consider a Bear Put Spread - buy a put at a strike price, and sell a put at a lower strike price.


An investor who is neutral to moderately bullish on the S&P 100 might consider a Short Put Spread on S&P 100 options (XEO) with European-style exercise - sell OEX puts at a strike price, and buy OEX puts at a lower strike price.


An investor who is bullish on S&P 100 prices in the short term could consider purchasing OEF call options.