A long put refers to buying a put option, typically in anticipation of a decline in the underlying asset. The term "long" here has nothing to do with the length of time before expiration b… See more

A long put has a strike price, which is the price at which the put buyer has the right to sell the underlying asset. Assume the underlying asset is a stock and the option’s strike price … See more

A long put may be a favorable strategy for bearish investors, rather than shorting shares. A short stock position theoretically has unlimited risk since the stock price has no capped … See more

A long put option could also be used to hedge against unfavorable moves in a long stock position. This hedging strategy is known as a protective put or married put. For exampl… See more

Let’s assume Apple Inc. (AAPL) is trading at $170 per share and you think it’s going to decrease in value by about 10% ahead of a new product launch. You decide to go long 10 put opti… See more