A straddle, whether long or short, has two breakeven points: the strike price plus and minus the sum of the premiums paid or received. In this case, the sum of the premiums received for the two short options is 4.35, and the strike price is 30. If the stock price is greater than 34.35 or less than 25.65, the investor will lose money. With short straddles, the customer profits if the stock price stays inside the breakeven points. Maximum gain is the premium received, and maximum loss is unlimited because of the uncovered calls.

свернуть