Long Strangle
The same as a straddle but cheaper and aimed at a very big move: you place bets a bit away from the current price on both sides. Cheaper entry, but it needs a larger swing.
How the Long Strangle works
Cheaper than a straddle because both options are out of the money; but the profit threshold is further away — it needs a bigger move. Same enemy: a flat market and falling IV.
Placing strikes at GEX levels
Set the OTM call at the Call Wall and the OTM put at the Put Wall: beyond the likely range the payoff is largest. It suits a negative-GEX regime before a volatility spike.
The walls and Gamma Flip are computed live in the GEX Terminal — build the strangle in the Position Builder.
When to open, the Greeks and managing the position
It suits limited capital but firm conviction a storm is coming — often before court verdicts, mergers or geopolitical events. Cheaper than a straddle but it needs a bigger move. Breakevens: call strike + total premium and put strike − total premium.
Greeks: long vega, negative theta. Management: like the straddle it fears a flat tape — close it if the move stalls to preserve remaining value.
FAQ
Both options are OTM — cheaper, but it needs a bigger move to reach profit.
Capped at the total premium.
Build the Long Strangle on live BTC and ETH quotes in the Position Builder.
Open the Position BuilderRelated strategies
Information is for educational purposes only and does not constitute investment advice. Options trading carries high risk.