Meaning of BEAR CALL SPREAD in English


The purchase of a call with a high strike price against the sale of a call with a lower strike price. The maximum profit receivable is the net premium received (premium received - premium paid), while the maximum loss is calculated by subtracting the net premium received from the difference between the high strike price and the low strike price (high strike price - low strike price net premium received). A bear call spread should be entered when lower prices are expected. It is a type of vertical spread.

A guide to futures and options market technology English dictionary.      Английский словарь-руководство по фьючерсам и опционам рыночных технологий .