A strip strangle is a complex options strategy that involves selling a call option and a put option on the same underlying asset, with the same expiration date but different strike prices. The call option is sold at a higher strike price, while the put option is sold at a lower strike price.

The strip strangle strategy is used when the trader expects the underlying asset to remain within a certain price range over the life of the options. The strategy is designed to profit from the premium collected from selling the options. If the underlying asset remains within the expected price range, both options will expire worthless and the trader will keep the premium as profit. If the underlying asset moves outside of the expected price range, the trader may incur a loss.

Strip strangles can be used with stocks, index options, and other types of options. They can be used to speculate on the direction of the underlying asset's price, or to hedge against potential price movements. It is important to note that strip strangles involve a significant amount of risk, as the potential loss is unlimited if the asset's price moves significantly in either direction.