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Finra Exam Series-7 Topic 3 Question 98 Discussion

Actual exam question for Finra's Series-7 exam
Question #: 98
Topic #: 3
[All Series-7 Questions]

Which of the following options positions is characteristic of a short straddle?

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Suggested Answer: C

long one put and short one call. This is a short straddle. A position that is long one put and long one call is a long straddle.


by Francesco at Sep 19, 2024, 07:43 AM

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Aretha
4 months ago
This question is making my head spin like a rotisserie chicken. But I'm still gonna go with C.
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Carman
3 months ago
User 4: I agree with Rodolfo, C) long one put and short one call seems right.
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Rodolfo
3 months ago
User 3: I'm going with B) long one call and short one put.
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Arlyne
3 months ago
User 2: No, I believe it's C) long one put and short one call.
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Lenna
4 months ago
I think the answer is A) long one put and short one call.
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Alpha
4 months ago
C is the way to go. It's like a short straddle is a sandwich, and you're the filling between the put and call.
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Rosann
4 months ago
I was just about to say C, but then I started doubting myself. Now I'm second-guessing my answer.
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Sharee
3 months ago
Yes, that's correct. A short straddle involves selling both a call and a put at the same strike price.
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Ryan
3 months ago
I think it's A too, because a short straddle involves selling a call and a put at the same strike price.
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Samira
4 months ago
A) long one put and short one call
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Katlyn
5 months ago
Definitely C. That's the classic short straddle position.
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Malcolm
4 months ago
It's a neutral strategy that profits from low volatility.
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Tammi
4 months ago
That's correct. A short straddle involves selling a call and a put at the same strike price.
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Kina
5 months ago
C) long one put and short one call
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Celestina
5 months ago
I'm not sure, but I think the answer is C) long one put and short one call.
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Kami
5 months ago
I agree with Thea, because a short straddle involves selling a call and a put at the same strike price.
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Thea
5 months ago
I think the answer is A) long one put and short one call.
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Kristin
5 months ago
I think the answer is C. A short straddle is when you're long one put and short one call.
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Tracey
4 months ago
No problem! It's important to understand the different options positions in trading.
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King
4 months ago
Oh, I see. Thanks for the clarification.
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Dyan
4 months ago
Actually, the correct answer is A. A short straddle involves being long one put and short one call.
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Kent
5 months ago
I think the answer is C. A short straddle is when you're long one put and short one call.
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