vertical spread

Definition of "vertical spread"
  1. A strategy in options trading involving buying and selling options with the same expiration date, but different strike prices
How to use "vertical spread" in a sentence
  1. In order to manage risk, the trader opted for a vertical spread.
  2. Through a vertical spread, he aimed to profit from the price differential.
  3. A vertical spread can be a useful tool in a volatile market.

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