Core Insights - Visa has experienced a significant increase in both share and options volume, indicating unusual activity that warrants investor attention [2][4][3] - The stock price of Visa rose by 6.1%, reflecting a 200% return on its 2025 share-price performance [4] Options Strategies - A protective collar strategy involves selling an in-the-money call and buying an out-of-the-money put for downside protection, which can generate premium income [1][7] - The covered call in this strategy would yield a premium income of $545, while the long put would cost $191, resulting in a net credit of $354 [8][9] - The maximum profit from the collar strategy is $41, while the maximum loss is $209, indicating a poor risk-reward profile [9][10] Synthetic Long Stock Strategy - A synthetic long stock strategy involves buying a long call and selling a short put at the same strike price, which mimics stock ownership with lower capital outlay [12][13] - The ideal strike price for this strategy is at-the-money, specifically the $342.50 call [14] - If Visa's share price increases by 5%, the potential gain from this strategy could be $1,059.75, while a 5% decrease could lead to a total loss of $1,839 [17][18] Long Iron Butterfly Strategy - The long iron butterfly strategy involves four options (two puts and two calls) at three different strike prices, aiming for significant price movement by expiration [19][20] - The maximum profit potential for this strategy is $489, with a maximum loss of $1,011, providing a risk/reward ratio of 2.07 to 1 [24][22] - The strategy is designed to profit if the share price is at or above $360 or at or below $330 at expiration [25]