Bull spread


 

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Bull spread

A spread strategy in which an investor buys an out-of-the-money put option, financing it by selling an out-of-the money call option on the same underlying security.

Bull spread

A strategy in options trading in which an option is purchased at an exercise price below that of the underlying instrument and simultaneously an option is sold at an exercise price above that of the underlying instrument, both with reference to the same expiry month. This applies to both call options or put options.



Similar Matches

Bid/offer spread

Bid/offer spread

The difference between the selling price and the purchase price for investments.When you ask a broker what price the shares of a company are trading at in the market, he will quote two prices: the bid price is the price at which you can sell your shares, and the offer price is the price at which you can buy them. The first is always lower than the second, and the difference between them is the spread.Market makers, who act like wholesalers in the stock market, make their profit from the spread - buying shares at the bid price and selling them at the offer price


Spread option

Spread option

A position consisting of the purchase of one option and the sale of another option on the same underlying security with a different exercise price and/or expiration date.


Debit spread

Debit spread

A spread strategy that decreases the account's cash balance when it is established. A bull spread with calls and a bear spread with puts are examples of debit spreads.


Maturity spread

Maturity spread

The difference in returns between bonds pfof different time lengths.


Narrowing the spread

Narrowing the spread

Reducing the difference between the bid and ask prices of a security.


Further Suggestions

bear call spread
Horizontal spread
Calendar spread
bear put spread
crack spread
TED spread
Ratio Spread
Underwriting spread
calendar spread
backspread
Spread income
Intracommodity spread
Mob spread
Intermarket sector spread
put spread
Time spread strategy
Dealers spread
Spread order
Intramarket sector spread
condor spread
Butterfly spread
Debit spread
Credit spread
Relative yield spread
credit spread


 
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