A bear put spread is a vertical spread that aims to profit from a stock declining in price. It has a bearish directional bias as hinted in the name. Unlike the bear call spread, it suffers from time ...
Explore four key vertical option spreads—bull call, bear call, bull put, and bear put—to optimize your trading strategy for varying market conditions.
With markets taking a bearish turn, 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 a ...
What is a put credit spread? A put credit spread is a neutral to bullish options strategy with defined risk and reward. This means that you will have a max profit and a max loss that is known before ...
Bear put spreads limit loss to net debit, capping maximum at difference between two puts. This strategy suits investors expecting a slight stock/index drop due to specific events. Profit potential is ...
If you’re bullish on a stock’s price, it’s important to remember that there are others out there who may not share your sentiments. If you trust in your convictions, a bull put spread can come in ...
Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...
EEM has had a very disappointing year to date as losses continue to mount. The fund however is coming up against some very strong underside support. We intend to use the options skew as well as the ...
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, ...
A put credit spread, aka bull put spread, is a neutral-to-bullish options strategy What is a put credit spread? A put credit spread is a neutral to bullish options strategy with defined risk and ...