Learn this properly
Short lessons from the BeInOptions Academy — on exactly the questions this page raises. Free, and readable without an account.
Breakeven & the payoff diagram
Reading the diagram this tool draws
Open the lesson →Straddles & strangles
Why some of these curves have two kinks in them
Open the lesson →Moneyness: ITM, ATM, OTM
How the strike choice moves the whole curve
Open the lesson →