diagonal bear spread
diagonal bear
spread Finance Definition
An option-trading strategy that involves purchasing a
rela-
tively long-term option contract and simultaneously selling a shorter-term contract that has a lower strike price. The investor profits if the price declines, within limits. This spread can be constructed using either puts or calls.
tively long-term option contract and simultaneously selling a shorter-term contract that has a lower strike price. The investor profits if the price declines, within limits. This spread can be constructed using either puts or calls.
Browse dictionary entries near diagonal bear spread
- diagonal
- diagnostician
- diagnostically
- diagnostic
- diagnosis
- diagnosing
- diagnoses
- diagnosed
- diagnose
- diagnosable
