What Are Vertical Debit Spreads? And Why Use Them? Besides answering these questions, this article will also help you understand why you should use a spread instead of a call or put. This article will ...
When you are buying (long) a vertical spread, that’s a debit spread. When you are selling (short) a vertical spread, that’s a credit spread. To initiate a debit spread, you would buy an option closer ...
A debit spread is an options strategy that involves the purchase and sale of the same class of options A debit spread is an options strategy that involves the purchase and sale of the same class of ...
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 ...
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 ...
With markets pulling back on Wednesday, it’s a good time to check in on our bear put spread screener. A bear put spread is a vertical spread that aims to profit from a stock declining in price. It has ...