The liquidation of an option position while at the same time taking an essentially equivalent position in an option with…

A shell company that is formed from scratch for the purpose of serving as a shell company. In other words,…

The process of locking in a futures trader’s roll-over costs (i.e., hedging the trader’s roll risk) involving going long (buying)…

An option trading strategy which involves selling a far-month call option and buying a near-month call in order to benefit…

A security that is traded on more than one exchange. For example, a Japanese company may list its shares in…

A calendar straddle that is designed to profit as the underlying is expected to break out in either direction. This…

A market activity that results from a floor broker or a brokerage firm executing trades on behalf of clients and…

A neutral option trading strategy that is based on four legs involving selling a low strike put (one short put),…

A stock that is not traded on a major or regional exchange (organized exchange) but rather over the counter (OTC).…

An option trading strategy which involves buying between two and four straddles for one or more expiration months. The straddle…