A debit spread is an options strategy that involves the purchase and sale of the same class of options with the same expiration date but different strike prices. Right now, this may sound confusing, ...
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 ...
Option spreads are useful strategies that traders can employ to risk less capital while maintaining leveraged exposure to equities. There are a few different types of spreads, but today, we’re going ...
Explore how to buy option spreads. This approach reduces risk by selling a less expensive option and buying another, aiming ...
The Federal Open Market Committee (FOMC) meeting kicks off today. With bank stocks under the microscope, the Fed's two-day policy event-- and subsequent comments from Fed Chair Jerome Powell -- has ...
Options are a type of derivative, meaning they “derive” their value from the securities they’re linked to. Options are also leveraged, meaning a smaller amount invested in them generates larger gains ...
A bear spread is an options strategy for mildly bearish investors. It aims to capitalize on moderate declines in an underlying asset's price through put or call spreads.
Feeling bearish about a certain stock? If you’re not keen on outright shorting it, you can always dabble in options. Or more specifically, puts. And, if you’re familiar enough with vertical options, ...