OptionAutomator Options Trading Glossary:

Definition, Examples & Resources:Call Ratio Backspread'

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What is Call Ratio Backspread in Options Trading ?

Call Ratio Backspread
A strategy buying more of the out of money calls than shorted at or in the money calls. This position has unlimited upside profit and small downside profit. The trade losses money if the underlying does not move at all and stays range bound.

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