Cryptocurrency Q&A
Does spread mean profit?
Does spread mean profit?
mia_clark_teacher
Sun Dec 22 2024
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7 answers
2111
I'm trying to understand the financial term 'spread'. I often hear it in the context of trading and investing, and I'm wondering if it refers to profit. Can someone clarify this for me?
7 answers
DigitalDragonfly
Tue Dec 24 2024
When traders anticipate the spread to widen, they "buy" the spread.
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CryptoChieftain
Tue Dec 24 2024
Spread trades are executed with the aim of generating profits from changes in the spread.
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CosmicDream
Tue Dec 24 2024
These changes can either be an increase or a decrease in the spread.
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emma_anderson_scientist
Tue Dec 24 2024
The profits are not derived directly from the movement in the prices of the individual legs.
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TaegeukWarrior
Mon Dec 23 2024
Conversely, if traders expect the spread to narrow, they "sell" the spread.
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