Ladder (option combination)

id: ladder-option-combination-243-4912395
title: Ladder (option combination)
text: In finance, a ladder, also known as a Christmas tree, is a combination of three options of the same type at three different strike prices. A long ladder is used by traders who expect low volatility, while a short ladder is used by traders who expect high volatility. Ladders are in some ways similar to strangles, vertical spreads, condors, or ratio spreads. A long call ladder consists of buying a call at one strike price and selling a call at each of two higher strike prices, while a long put lad
brand slug: wiki
category slug: encyclopedia
description: Combination of three options in finance
original url: https://en.wikipedia.org/wiki/Ladder_(option_combination)
date created:
date modified: 2023-03-22T01:11:40Z
main entity: {"identifier":"Q111169691","url":"https://www.wikidata.org/entity/Q111169691"}
image: {"content_url":"https://upload.wikimedia.org/wikipedia/commons/8/84/Ladder_payoff_diagrams.png","width":2216,"height":1354}
fields total: 13
integrity: 15

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