Build a Bull Put Spread Strategy
What is a bull put spread?
A bullish vertical spread strategy which has limited risk and reward. It combines a long and short put which caps the upside, but also the downside.
The goal is for the stock to be above strike B, which allows both puts to expire worthless. This strategy is almost neutral to changes in volatility. Time-decay is helpful while it is profitable, but harmful when it is losing.
(also known as: Put Credit Spread)