Calendar Spread
Posted By: TradersLog
(1) The purchase of one delivery month of a given futures contract and simultaneous sale of a different delivery month of the same futures contract;
(2) the purchase of a put or call option and the simultaneous sale of the same type of option with typically the same strike price but a different expiration date. Also called a Horizontal Spread or Time Spread.
See also: Spreads
Twitter
Facebook
LinkedIn
Leave a Reply
By submitting a comment here you grant Traders Log a perpetual license to reproduce your words and name/web site in attribution. Inappropriate or irrelevant comments will be removed at an admin's discretion.