With a bull spread, the spreader believes that the underlying currency will appreciate substantially, even more so than with a strangle.

Question

Quizplus · Accepted Answer

A bull spread is indeed a strategy used when an investor believes the underlying asset will rise in price, but it typically involves a more moderate view on the market's direction compared to a strangle, which is used for more significant market moves.

With a Bull Spread, the Spreader Believes That the Underlying