Description A very well-known and frequently used strategy. Often times it is the first strategy that an investor will use within his/her investment program. When to use When bullish on XYZ and willing to accept the strategy's risk/reward profile. It offers a great deal of potential if opinion is correct. If wrong, it has a great deal of inherent risk. Risk/Reward Characteristics The strategy's P&L is based solely on the difference between the initial purchase price and the eventual selling price. Break-even Point: Purchase price. Time Decay: None. Volatility: The more volatile the underlying stock becomes, the greater the potential for larger profits and larger losses. | 
