Vertical Debit Spreads 101
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 Published On Apr 13, 2016

Vertical debit spreads are a great way to make smaller directional trades on much higher-priced underlyings. In order to do so, we tend to eliminate home runs in favor of higher POP. Follow along as Mike walks through how to trade vertical debit spreads.

0:00 Introduction
0:56 Call Debit Spreads
4:02 Using POP & ROC
6:12 Risk Profile Graphs
8:30 Finding Breakeven
10:40 Put Debit Spreads
13:11 Takeaways

#optionstrading #options #optionstrategy

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This video and its content are provided solely by tastylive, Inc. (“tastylive”) and are for informational and educational purposes only. tastylive was previously known as tastytrade, Inc. (“tastytrade”). This video and its content are not, nor are they intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Supporting documentation for any claims, comparisons, statistics, or other technical data, if applicable, will be supplied upon request. Multi-leg option strategies incur higher transaction costs as they involve multiple commission charges. Please read the Characteristics and Risks of Standardized Options Disclosure prior to trading options. This video and its content were created prior to the legal name change of tastylive. As a result, this video may reference tastytrade, its prior legal name.

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