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To Take Advantage of an Anticipated Increase in the Stock

Question 10

Multiple Choice

To take advantage of an anticipated increase in the stock price while, at the same time, limiting the maximum loss to the option, the investor will use a:


A) Short call strategy.
B) Long call strategy.
C) Cash-secured put writing strategy.
D) Long-call paper buying strategy.
E) None of the above.

Correct Answer:

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