OptionAutomator Options Trading Glossary:

Definition, Examples & Resources:Butterfly Spread'

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What is Butterfly Spread in Options Trading ?

Butterfly Spread
A strategy of combining bull and bear credit spreads to minimize the risk with the short option of each spread on a single strike price. The profit is also limited due to the increased probability of the trade to profit. Put's or calls can be used for this strategy.




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Hi, this may be interesting you: Butterfly Spread! This is the link: https://www.optionautomator.com/Options-Trading-Glossary/butterfly-spread/