Definition
A calendar spread is an options or futures strategy where an investor simultaneously enters long and short positions on the same underlying asset but with different delivery dates. In a typical calendar spread, you would buy a longer-term contract and go short with a nearer-term option with the same strike price. If two different strike prices are used for each month, it is known as a diagonal spr
In Panel Profits
In the Panel Profits market platform, Calendar Spreads in Futures and Options Trading Explained applies standard equities & market mechanics principles to comic assets and physical collections. Trading volume and liquidity spreads reflect secondary market dealer and auction transactions.
Common mistakes
Do not infer unobserved prices.