Explore four key vertical option spreads—bull call, bear call, bull put, and bear put—to optimize your trading strategy for varying market conditions.
NDX options are an incredibly useful tool for both investors and traders. When two different options are combined into a spread they allow hedgers to protect a position and allow speculators to take ...
This column was originally published on RealMoney on June 2 at 5:13 p.m. EDT. It's being republished as a bonus for TheStreet.com readers. Some of the most frequently asked questions I get concern ...
The term ‘spread’ can have several different interpretations depending on where it is used in the financial space. A spread is often used to refer to the difference in bid and ask prices on an ...
A bear call spread is a type of vertical spread, meaning that two options within the same expiry month are being traded. One call option is being sold, which generates a credit for the trader. Another ...
Experienced options traders know that there are more ways to profit from options than just purchasing them and hoping they land in the money. There are ways to mitigate risk and maximize the potential ...
Here's the basic setup of an iron butterfly, along with how to calculate the position's maximum gain, maximum loss, and breakeven point. There are plenty of ways to profit on a stock's movement, ...