How to Use a Bull Put Spread The strategy is most effective when implied volatility is high because this raises put option premiums, letting traders earn more from selling the higher strike put.

In this guide, we’ll break down the key differences between sell to open and sell to close, how each strategy works and when to use them in your trading plan.

For the first time since the pandemic-driven market crash in early 2020, the CBOE Volatility Index, or VIX, crossed over the 40 marker this month.

A bull call spread is an options strategy used to profit from moderate increases in the underlying asset’s price while limiting risk. It involves buying a call option at a lower strike price and ...