Backspread Options Trading Strategies Explained

Backspreads – a directional strategy that provide investors with an opportunity to participate in large underlying price moves – can be used with limited cash outlay and tailored risk. In just an hour, this video will discuss how these unique spreads involve either all calls (bullish) or all puts (bearish). It will also look at the impacts of time and implied-volatility changes on these trades, deltas, break-even prices and maximum profit and losses.