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Bull Put Spread

Credit spread profiting from upward movement and time decay.

Intermediate

Market Outlook

bullish

Family

vertical

Capital Req

medium

Risk Profile

high

Strategy Overview

Key characteristics and when to use

Structure

Sell Put + Buy Lower Strike Put

Greek Profile

Positive delta, positive theta, negative vega

Characteristics

CreditBullishIntermediate

Profit & Loss Formulas

Mathematical breakdown

Max Profit

Net credit received

Max Loss

Spread width - net credit received

Breakeven

Short put strike - net credit received