A spread option position in which the price of the option bought is greater than the price of the option sold.
Related information about debit spread:
- Debit spread - Wikipedia, the free encyclopedia
In finance, a debit spread, AKA net debit spread, results when an investor simultaneously buys an option with a higher premium and sells an option with a lower ...
- Debit Spread Definition | Investopedia
Two options with different market prices that an investor trades on the same underlying security. The higher priced option is purchased and the lower premium ...
- Debit Spreads Explained | The Options & Futures Guide
A debit spread is an option spread strategy in which the premiums paid for the long leg(s) of the spread is more than the premiums received from the short leg(s) , ...
- Debit Spreads by OptionTradingpedia.com
Debit Spread is one of the two kinds of options spreads, the other being the Credit Spread. Debit spreads are usually the first kinds of options spreads that ...
- Bull Call Debit Spreads - PowerOptions
The return calculations for the Bull-Call Debit Spread are: % Return = Maximum profit ÷ Net Investment. % Return = (Difference in strike prices - Net Debit) ÷ Net ...
- Debit Spread - Option Spreads
The goal in a debit spread is to make money on trading the option later or having them exercised together. Debit strategies can be bullish or bearish. Call debit ...
- Debit Spreads
When the option bought is more expensive than the option sold, the spread is said to be a "debit" spread because its opening results in a net debit to your ...
- Debit Spread or Credit Spread? - Option Trading
Debit Spread or Credit Spread? Posted by Pete Stolcers on May 25. Option Trading Question. On 5/24/06 Thomas F. asked, “How do you determine if you will do ...