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BearishDirectional strategyIntermediate

Bear Put Spread

Buy a put and sell a lower-strike put – cheaper way to bet on falling prices.

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For moderate expected declines with defined risk.

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  1. Buy an ATM put
  2. Sell an OTM put below
  3. Same expiration, 30–60 DTE
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QQQ at 450. Buy 450 put at 8, sell 430 put at 3. Net debit 5, max gain 1500 below 430.