Trade Logic Unlocked

Uninverting an Inverted Strangle

Trade Logic Unlocked

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As traders, we are constantly managing and adjusting our positions. This is to be expected, as some of our trades might not go exactly as planned. As a result, we will frequently find ourselves rolling into an Inverted Strangle, which is similar to a “Regular” Strangle, except that the Short Call is on the bottom and the Short Put is on the top. Nevertheless, once we go inverted, is it possible to “uninvert” and move back into a Regular Strangle?

Yes, it is, and in today’s piece, we outline how you would do that.

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