Hey kids, did you know people can make money by predicting how the price of a company's stock will move? This news is about a special way to do that using something called 'options' which are like special tickets for buying or selling a company's stock at a certain price. It's a bit tricky, but it can be exciting to learn about!
- This news is about AMD stock, which makes computer chips.
- Someone is trying a strategy called a 'long straddle' to make money if the stock price goes up or down a lot.
- They'll buy two kinds of 'options': one that lets them buy AMD stock, and one that lets them sell it.
- There's risk involved; they could lose money if the stock price doesn't move much.
| Risk | $1850 |
|---|---|
| Break-even prices (now) | $96.50 and $133.50 |
| Break-even prices (March) | $102 and $125 |
