Glossary of Option Terms: Bear Spread
Bear Spread
Definition: A strategy seeking greater earnings when the price of the underlying security declines. Either puts or calls can be used. A higher strike price is purchased and a lower strike price is sold. The options have the same expiration date.
Related Articles:
- Bear Spreads - Totally Risk-Free Profits Shorting Crude Oil
- Spread Trades - Bull vs. Bear
Related Terms:
|



