What is Option Spread?
Option Spread (also called bull spread, bear spread) — An options strategy combining buying and selling options of the same type to define risk and reward (e.g. a bull call spread).
In simple terms
A bull call spread caps both your cost and your maximum profit.
Why Option Spread matters when you invest
Understanding option spread helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Option Spread — frequently asked questions
What is Option Spread?
An options strategy combining buying and selling options of the same type to define risk and reward (e.g. a bull call spread).
What does Option Spread mean in the stock market?
An options strategy combining buying and selling options of the same type to define risk and reward (e.g. a bull call spread). A bull call spread caps both your cost and your maximum profit.
Can you give an example of Option Spread?
A bull call spread caps both your cost and your maximum profit.
Put it into practice — open a free account.
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