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Outlook. A higher price by expiry.

Construction. Buy a call.

Profit and loss. The most you can lose on the option itself is the premium, before costs. Profit needs the underlying above the strike plus the premium.

Assignment and complexity. You can sell the call before expiry. You do not have to exercise it. This is a basic description, not a rating of the strategy.

Outlook. A lower price by expiry.

Construction. Buy a put.

Profit and loss. The most you can lose on the option itself is the premium, before costs. The underlying has a floor at zero, so the gain on a long put is finite.

Assignment and complexity. A long put is often used as a hedge. The hedge ends when the put expires. This is a basic description, not a rating of the strategy.

Outlook. A share you already hold, with a view that a large rise is unlikely before expiry.

Construction. Own the shares and sell a call.

Profit and loss. The premium is income. The call caps the upside if the shares are called away. The shares can still fall.

Assignment and complexity. Assignment can remove the shares. That is the obligation you sold. This is a basic description, not a rating of the strategy.

Outlook. Willing to buy shares at the strike if assigned.

Construction. Sell a put and keep cash for the purchase.

Profit and loss. The premium is the income. If assigned, you buy shares at the strike. The loss if the shares fall is the share loss minus the premium.

Assignment and complexity. The cash has to be there. A put sold without the cash is a different, larger obligation. This is a basic description, not a rating of the strategy.

Outlook. You hold the underlying and want a floor for a period.

Construction. Own the shares and buy a put.

Profit and loss. The put offsets losses below the strike until expiry, after the premium. Above the strike the put can expire worthless.

Assignment and complexity. The strike you can afford may sit well below the current price. Cover is temporary. This is a intermediate description, not a rating of the strategy.

Outlook. A directional view with a defined premium outlay.

Construction. Buy one option and sell another of the same type and expiry, at a different strike, for a net debit.

Profit and loss. Both the gain and the loss are bounded by the strikes and the debit. The short leg is still an obligation.

Assignment and complexity. Early assignment on the short leg can happen on American-style contracts before the long leg helps. This is a intermediate description, not a rating of the strategy.

Outlook. A view that the underlying will stay on one side of a strike.

Construction. Sell one option and buy a further option of the same type and expiry, for a net credit.

Profit and loss. The credit is the most you keep if both expire worthless. The loss is bounded by the distance between the strikes, minus the credit, plus costs.

Assignment and complexity. The short leg can be assigned. The long leg limits that risk only if it is still open. This is a intermediate description, not a rating of the strategy.

Outlook. A share holding you want to fence in for a period.

Construction. Own the shares, buy a put and sell a call.

Profit and loss. The put sets a floor. The call sets a ceiling. The call premium can pay for part of the put.

Assignment and complexity. You can be called away on the shares, and the put expires. This is a intermediate description, not a rating of the strategy.

Outlook. A large move, without a view on the direction.

Construction. Buy a call and a put at the same strike and expiry.

Profit and loss. You need a move large enough to cover both premiums. If the price stays near the strike, both can expire worthless.

Assignment and complexity. Two premiums, two sets of costs. Direction is not enough if the move is small. This is a intermediate description, not a rating of the strategy.

Outlook. A large move, using different strikes.

Construction. Buy a call above the price and a put below it.

Profit and loss. The move has to cover both premiums and reach beyond one of the strikes. The most you lose on the options themselves is the two premiums, before costs.

Assignment and complexity. Cheaper strikes are further away, so the required move is larger. This is a intermediate description, not a rating of the strategy.

Outlook. A view that the underlying will stay inside a range.

Construction. A put credit spread and a call credit spread, same expiry.

Profit and loss. The credit is the income if the price stays between the short strikes. The loss on either side is bounded by that spread.

Assignment and complexity. Two short options means two assignment paths. The range can break. This is a advanced description, not a rating of the strategy.

Outlook. A view that the price will finish near one strike.

Construction. Options at three strikes, usually long the wings and short the body, or the reverse.

Profit and loss. The payoff peaks near the middle strike and is limited on both sides. The debit or credit sets the bound.

Assignment and complexity. Several legs mean several costs, and the short options can be assigned. This is a advanced description, not a rating of the strategy.

Outlook. A view about time, often the same strike in two expiries.

Construction. Sell a nearer option and buy a later option, or the reverse.

Profit and loss. The result depends on time decay and on how implied volatility differs between the two expiries. It is not a simple expiration diagram of one date.

Assignment and complexity. When the near option expires, the later option is still open. That remaining position has its own risk. This is a advanced description, not a rating of the strategy.