Call option diagonal spread. A diagonal spread combines many of the advantages of a calendar spread with the benefits of a covered call trade. This is part one of a two part discussion on trading.

Call option diagonal spread

Diagonal Spreads: A Lucrative Variant to Writing Covered Calls

Call option diagonal spread. To understand diagonal spreads, you first must understand differential time value decay, which we explained in the horizontal spread section of this tutorial.

Call option diagonal spread

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