How to Skew a Strangle

The classic, neutral short strangle is one of our go-to strategies at tastytrade. It allows us to collect credits on both sides of the market, while taking full advantage of the <a href="http://ontt.tv/2jpJpsz">benefits of short premium</a>. At times, however, you might want to move from a purely neutral strangle into a <a href="https://ontt.tv/OJyuU">skewed strangle</a> that has more of a directional bias. Looking at a potential trade in QQQ, we explore the two different ways you can create a bearish bias in a short strangle.