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101 signals were generated in 2017-20
97 delivered profit

Options Glossary - Most Used Terms


Vertical Spread

(1) A stock option spread based on simultaneous purchase and sale of options on the same underlying stock with the same expiration months but different strike prices. (2) It is also used to describe a delta-neutral spread in which more options are sold than are purchased.

See Also:

Spread: A trade in which two related contracts/stocks/bonds/options are traded to exploit the relative difference in price change between the two. A trading strategy in which a trader offsets the purchase of one trading unit against another.

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