How to Select the Best Long Strike for an Options Credit Spread
10/12/2015 8:00 am EST
In this video, options expert Seth Freudberg, of SMB Options Training Program, discusses how to decide the best long strike to select when selling a credit spread with a directional viewpoint in mind.
In this video, you will learn:
- Why the strike separation that yields the highest dollar credit is usually not the best long strike to select.
- Why you need to focus on return, not dollars when making the long strike decision.
- Which strike is usually the best long position to take on a credit spread trade.
By Seth Freudberg, Director, SMB Options Training Program