This trade sells short-term puts to partially finance the purchase of longer-dated puts.
Futures and options traders both trade calendar spreads, but the phrase has a different meaning depending on which type of derivative you're using.
Every investor that makes decisions using fundamental or technical analysis is implicitly rejecting some form of this.
Several indicators suggest a more bearish outlook for the months ahead.
Understanding the pricing of gold and its impact to the economy is more significant than people might realize.
Doubts that Abe's unconventional economic policy would be able to stoke demand are starting to fade a little as higher inflation expectations are also starting to stick.
I don't own any shares yet, and these put premiums seem like a decent sale opportunity with a worst-case outcome of a new stock position.
VXEM is especially interesting for volatility traders at the moment.
The problem isn't limited to one or two brokers, and this isn't an issue of competing pricing models; the false quotes are caused by vendors assuming, falsely, that the asset underlying VIX option quotes is the "spot" VIX index.
One reason traders buy and sell option straddles is to express views about the future volatility of the underlying.