Last time somebody asked this questions the answers were "Who cares?" and "Get a book." It's basically just a short straddle with a UL in between. 2 x 1 (or 1 x 2 depending on how you look at it.) The idea is I'm long term bullish but not expecting anything spectacular short term. So from the top down it's short 2 otm calls long 1 ul short 2 otm puts I know I'll get hurt if ul gets close to strike, but that's a risk I'm willing to take. All I want to know is if there's a name for it.
Don't know if there is a name but 2 short puts+1 covered call (long UL and short call) = 3 short puts at different strikes. That leaves the extra short call.
Why does it need a name? You're long underlying and short strangles. That's what it's called. You could also say that you're short a one-lot synthetic straddle (call-strike) and short two-lot in puts.
I think Option Coach had a name for an unbalanced strangle in his book. I'll go look it up. /brb Edit: He calls them straps and strips depending on whether it has extra calls or puts.
The position will dissect to a two-lot covered call if the puts are near-ATM (static). Further OTM on puts reduces the upside deltas. Do you really want to be in a CC if you're bullish? I would suggest a "married straddle" if you want to be long and earn on a vol-drop or decay. Long 100 UL and short 1 ATM straddle. Less gamma and heartache if you're wrong.
No, I just want to be flat out long, but even the minimum contract is too volatile for my account (and I probably shouldn't even be trading it) so I have to give up something somewhere. Give me some time to think about it. I need to go figure out what PNL distribution is.
PNL - P&L - the profit/loss graph at expiration. If you just want to be long stock try short put+long call, but the stock needs to move before expiration. Cheaper than buying stock but they don't last forever, plus you get the same downside as naked long stock.