The short put spread -- or "bull put spread," as it's also described -- is a relatively conservative option strategy, since the profit potential is strictly capped. In execution, it bears a strong ...
When you buy a long put option on a stock, it's because you expect the shares to decline. In a long put spread, however, you probably have a more concrete downside target in mind. Rather than betting ...
The call vs. put distinction can be confusing to options-trading beginners. Here’s what you need to know about the difference between puts and calls. Many, or all, of the products featured on this ...
Put options are a type of option that increases in value as a stock falls. A put allows the owner to lock in a predetermined price to sell a specific stock, while put sellers agree to buy the stock at ...
Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Somer G. Anderson is CPA, doctor of ...
Selling puts is an oft-overlooked option trade that can pair well with long-term investing strategies under certain circumstances. Many, or all, of the products featured on this page are from our ...
Put options are financial contracts that give the holder the right – but not the obligation – to sell an underlying stock or asset at a specified price (the strike price) within a certain time period.
Be sure you know about this way of betting against a stock or the market. Most investors choose investments in the hopes that they'll rise in value. Yet sometimes, you might be convinced that a stock ...
“The Put–Call Ratio remains one of the most important and parsimonious information variables used by traders to predict the market return.” “This trading signal handily beats the S&P 500 composite ...
A put option is a financial contract that provides an investor the right (but not obligation) to sell a stock at a designated price prior to an expiration date. Learn more about put options and how ...