Bull Spread

  

Categories: Derivatives, Metrics

If a security is expected to rise in price, investors can buy different options with the same expiry date but different strike prices. It's called a bull spread, and the basic idea is to make money when the security increases in price while also limiting risk.

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Finance: What's the Difference Between B...159 Views

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Finance a la shmoop what's the difference between bear and bull? bear

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pessimistic bad growly things coming Negative Nancy boo bear...Bull [Bear walking into water]

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awesomesauce life's good you take it by the you know horns alright we're gonna

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apply bear and bull to markets here but they apply to a whole lot of things and

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a bear market is actually technical nomenclature that refers to sustained or [Bear market definition on 100 dollar bill]

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prolonged periods of time where stock prices generally just fall...three

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four five six seven eight quarters where the market craps the bed down down down

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the bear market pattern is different from just a correction when the market

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takes just a short term dump and then well you know quickly recovers yeah like [Bear market graph]

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it has a bad quarter or two and then starts climbing again well that's not

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the big bad bear that's just a correction a bull market is just the

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opposite it goes up up up like this guy in his balloon-powered house and that's [House with balloons travels up a stock value graph]

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it both are dangerous in the wild but on Wall Street huh you just have to watch

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out for the Bears [Bear chasing a woman]

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