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intro to spreads
Long Put Vertical
Analyzing the risk profile of a long put vertical
Recap
- Long put verticals are a bearish strategy
- Long put verticals have limited profitability and limited risk
- The most you can lose on a long put vertical is the amount you pay for it
- Wider verticals carry greater risk, but offer greater profit potential
- Narrow verticals are very slow moving, but have lower monetary risk
- Never pay more than the width of the strikes to open a long vertical
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intro to spreads
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