A naked put, or uncovered Put, is an options strategy where an investor sells put options without owning the underlying stock. When one sells a naked put, they take on the obligation to buy。
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 prosnaked put strategy and cons. Pros. Raking in。
A naked put involves writing a put option without the reserved cash on hand to purchase the underlying stock. This strategy entails anaked put strategy great deal of risk and relies on a steady or rising stock。
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