| Alligator Spread |
 A term referring to an unprofitable spread regardless of favorable market movements. This loss is due entirely to large commissions charged upon the transactions.
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Don't get caught in an alligator spread! This type of scenario will lead to a losing position even if you predict the market correctly.
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Options Basics Tutorial - An introduction to the world of options, covering everything from primary concepts to how options work and why you might use them. |
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