Butterfly spread




Customer reviews
fantip
Here indeed buffoonery, what that
Vasya-Pechkin
If you are under forty you should always keep an eye on the ball!
Goose
Alcohol, drug abuse and smoking – this affects not only your heart but your sex function too.
power737
I apologize, but it is quite another. Who else, what can prompt?
1952200
Completely disagree with the previous report
litlesister
Rated 5, bazaar zero
tokha
In your place I would not do it.
DjWest
is actually very high!

Butterfly spreadButterfly Spread

Butterfly Spread - Introduction

The Butterfly Spread is an advanced neutral option trading strategy which profits from stocks that are stagnant or trading within a very tight price range.

A Butterfly Spread derived its name from the fact that it consists of 3 option trades at once, just like the 2 wings built on the body of a butterfly. This is an options trading strategy where a very large profit is realised if the stock is at or very near the middle strike price on expiration day. When implemented properly, the potential gain is higher than the potential loss, but both the potential gain and loss will be limited.

Unlike many basic option trading strategies, you can put on a butterfly spread for a much lesser price than most other strategies due to the fact that one leg or "wing" of the position is a credit spread that offsets much of the price of the other leg or "wing".

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