diagonal spread
diagonal spread · diagonal spreads
In derivatives trading, an options spread position having features of both a calendar…In derivatives trading, an options spread position having features of both a calendar spread and a vertical spread. It is established by simultaneously buying and selling equal amount of option contracts of the same type (call or put) but with different strike prices and expiration dates.
Meaning
1 sensesIn derivatives trading, an options spread position having features of both a calendar spread and a vertical spread. It is established by simultaneously buying and selling equal amount of option contracts of the same type (call or put) but with different strike prices and expiration dates.
Forms
plural: diagonal spreads| Singular | diagonal spread |
|---|---|
| Plural | diagonal spreads |
regular