What are the Types of Bullish Options Strategies?

There are several types of bullish options strategies that investors can use to profit from a rising stock price. Some of the most common ones include:

Long call option: This strategy involves buying a call option at a strike price below the current market price of the underlying stock. As the stock price rises, the value of the call option also increases, allowing the investor to sell the option at a profit.

Bull call spread: This strategy involves buying a call option at a lower strike price and selling a call option at a higher strike price. The maximum profit is limited, but so is the maximum loss.

Short put option: This strategy involves selling a put option at a strike price below the current market price of the underlying stock. If the stock price remains stable or rises, the investor can keep the premium received from selling the option as profit.

Bull put spread: This strategy involves selling a put option at a lower strike price and buying a put option at a higher strike price. The maximum profit is limited, but so is the maximum loss.

Covered call: This strategy involves holding a long position in an underlying stock and selling a call option at a strike price above the current market price of the stock. The investor can earn income from the premium received from selling the call option, but the potential profit is limited.