Category: Spread

How to Use a Spread Option Strategy [Horizontal, Vertical, and Diagonal Spreads]
One of the main advantages of options trading is that it can give you the chance to invest in an underlying asset at a reduced cost or with limited risk. The spread option strategy, including...

Trading with the Bear Put Spread Strategy [Essentials and Real-Market Example]
If you feel like opening a bearish trade is a good idea but don't want to risk too much (as you would with a naked call, for instance), the bear put spread strategy might be for you. This options...

The Bull Put Spread Strategy: What You Should Know Before Trading (Practical Considerations)
The bull put spread strategy is one of the most popular ways to trade when expecting a moderate increase in an asset's price. By buying a put option at a lower strike price and selling another put...

Overview of the Bull Call Spread Strategy [Strategies for Moderately Bullish Markets]
When you expect a moderate increase in a stock or ETF price, perhaps options trading is the right approach for you. The bull call spread strategy involves buying one call option and selling another...

A Look at the Basics of a Long Put Calendar Spread [Beginner Guide]
When you have an idea of a specific market price, a long put calendar spread can be an effective strategy. By buying longer-term puts and selling shorter-term ones at the same strike price, you can...

Understanding the Long Calendar Spread - Tips and Insights
The long calendar spread is a relatively advanced strategy for traders aiming to profit from stability. Consisting of buying a longer-term call and selling a shorter-term one at the same strike...

Short Put Calendar Spread: Taking Advantage of Volatility [Complete Guide]
If you expect a drop in implied volatility, you might want to consider the short put calendar spread strategy. In order to achieve this, you sell a longer-term put while buying a shorter-term put...

Benefits and Risks of the Short Calendar Spread Options Strategy
If you're looking for advanced options strategy ideas, the short calendar spread might catch your interest. This is a trade that combines selling a longer-term call and buying a shorter-term one at...

Playing with Expiration Dates - A Guide to Calendar Spread Options
While most options strategies feature contracts with the same expiration date, calendar spread options let you "play" with the time concept. This strategy - very popular in options and futures...

Including Diagonal Spreads for Income in Your Options Trading Toolkit
Among the many types of option spreads that can improve your trading routine, diagonal spreads for income are something you should check out. This strategy involves taking a long and short position...