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 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 ...

For example, if you have a 100/90 vertical spread, the max value is $1,000. To calculate the max risk (or cost) of a vertical spread, you simply subtract the premium (price) of your long option from ...

Explore 10 essential options strategies every investor should know, from basic calls and puts to advanced spreads, risks, rewards, and real-world use cases explained.

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 ...

What is an iron condor? An iron condor is a neutral options strategy with defined risk that combines a short put vertical spread and a short call vertical spread with the same expiration in a single ...

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 ...