Volatility Impacts Options Market Strategies

Understanding Options Market Strategies During Earnings
In the world of investing, betting on stock movements after companies release their earnings reports can be highly lucrative. An approach known as buying options straddles has been popular among traders. This involves purchasing both a call option (betting the stock will rise) and a put option (betting the stock will fall) on a company's shares before its earnings announcement. The idea is to profit from large stock swings, regardless of the direction, because the investor holds both positions.