What are the similarities and differences between bear and bull spreads?
What will be an ideal response?
Answer:
Both have floors and ceilings. The bear position has a ceiling where prices are falling and a floor where prices rise. A bull spread has the opposite floor and ceiling.
Business
You might also like to view...
The price premium commanded by a differentiation strategy reflects the value perceived by the buyer and the
a. value actually delivered to the buyer. b. image and brand loyalty. c. quality promised by the manufacturer. d. intangible features desired by the buyer.
Business
With private investing,
A) capital is raised by selling securities to the public. B) capital is raised by issuing new shares of stock. C) a limited partnership is formed that raises money from a small number of high-wealth investors. D) all of the above occur
Business