Assertion: straddle | /r/CapableOf | take advantage
Facets:
value: of a perceived mispricing of options
type: OTHER
Source sentences:
text: A straddle is an options trading strategy that takes advantage of the implied volatility (i.e. the price movement) of an underlying asset even when they do not know the exact direction of that movement.
text: Both straddles and strangles are strategies to take advantage of a perceived mispricing of options where the trader thinks that implied volatility or premium does not represent what the underlying will do, but where he or she does not have a strong directional opinion.