An option strategy that involves simultaneously buying and selling options at different strike prices, where both have the same underlying, right (call or put) and expiration date. This spread is sometimes referred to as a price spread. For example:

  • Call: Buy 1 June02 100 call, Sell 1 June02 105 call
  • Put: Buy 1 March02 105 put, Sell 1 March02 95 put