One of the ways active traders can secure bullish or bearish exposure with limited risk is by using a vertical spread. In this blog article, we’ll break down what this strategy is and how it can help you reach your financial goals. What Is a Vertical Spread? A vertical spread is an options trading strategy… Read more.
When Should You Trade Vertical Spreads?
A vertical spread is an options strategy in which the trader simultaneously purchases and sells multiple contracts with different strike prices. Each buy or sell, known as a “leg,” is designed to secure bullish or bearish market exposure. Bullish vertical spreads profit when prices of the underlying assets rise, and bearish spreads profit when prices… Read more.