If You Feel Strongly That a Stock Price Will Move

question 42

Multiple Choice

If you feel strongly that a stock price will move a lot,but are unsure of the direction,you could:

• A) buy both a put and a call.
• B) sell both a put and a call.
• C) buy a put and sell a call.
• D) buy two puts.

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Definitions:

Higher Frequencies

Electromagnetic wavelengths that are shorter, resulting in greater oscillations per second, which are applied in various technologies like microwave and radio.

Semicircular Canals

Structures within the inner ear that are key to the vestibular system, helping maintain balance and spatial orientation.

Ampulla

A dilated section of a canal or duct, such as the ampulla of Vater in the digestive system, which aids in the digestion process by releasing bile and pancreatic juices into the small intestine.

Ossicles

The three small bones in the middle ear called the malleus, incus, and stapes, which help in transmitting sound vibrations to the inner ear.