Options trading strategies can be categorized based on the trader's market outlook (bullish, bearish, neutral) and risk tolerance.

1. Basic Strategies

• Buying Calls: Profit from rising stock prices.
• Buying Puts: Profit from falling stock prices.
• Covered Call: Own the underlying stock and sell a call option.
• Protective Put: Own the underlying stock and buy a put option for downside protection.

2. Bullish Strategies

• Bull Call Spread: Buy a call option and sell a higher strike call.
• Bull Put Spread: Sell a put option and buy a lower strike put.
• Synthetic Long Stock: Combine a long call and short put at the same strike price.

3. Bearish Strategies

• Bear Call Spread: Sell a call option and buy a higher strike call.
• Bear Put Spread: Buy a put option and sell a lower strike put.
• Synthetic Short Stock: Combine a short call and long put at the same strike price.

4. Neutral or Range-Bound Strategies

• Iron Condor: Combine a bull put spread and a bear call spread.