Bear Put Spread Tweet
- Bearish strategy
- Buy 1 put, sell a lower strike put. Example buy 50 strike put, sell 40 strike put
- Opposite of the Bull put spread
- You pay a debit
- Profit if stock goes down
- Similar to buying a put but with a limited profit potential upto that short put(No additional profit below 40 strike, as both puts cancel each other after that point)