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Bull Put Spread

August 23, 2018

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A BULL PUT SPREAD is an options strategy that involves 2 transactions.

A trader initiates a Bull Put Spread by selling a PUT option and then buying another PUT option in the same expiration month.

The sold put option should be at a higher strike price than the bought put option.

By selling -1Put option and buying +1 Put option in this fashion the trader initiates a CREDIT SPREAD.

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