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Ratio Spread |
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Ratio spreadOption strategy using either puts or calls. The trader purchases a certain number of options and then sells a larger number of out of the money options.Ratio SpreadConstructed with either puts or calls, the strategy consists of buying a certain amount of options and then selling a larger quantity of more out-of-the-money options.Ratio Spread Similar MatchesAlligator spreadAlligator spreadThe term used to describe a spread in the options market that generates such a large commission that the client is unlikely to make a profit even if the markets move as the investor anticipated. SpreadsheetSpreadsheetA computer program that organizes numerical data into rows and columns in order to calculate and make adjustments based on new data. Credit spreadCredit spreadApplies to derivative products. Difference in the value of two options, when the value of the one sold exceeds the value of the one bought. One sells a "credit spread." Antithesis of a debit spread Related: Quality spread. Calendar spreadCalendar spreadThe sale (purchase) of a near month call option (put option) and the simultaneous purchase (sale) of a longer dated call option (put option) at the same exercise price. Bull spreadBull spreadA 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. Further SuggestionsSpread strategyTED spread Bid asked spread Intramarket sector spread bear put spread Delta Spread Yield spread strategies Spread position Intracommodity spread put spread Narrowing the spread Maturity spread Intermarket sector spread call spread Time spread strategy credit spread Calendar spread crack spread Relative yield spread Mob spread Price spread Spread option bid/offer spread spread betting diagonal spread |
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