STRATEGY EXPLAINER · 2:58
Call Backspread Strategy Explainer Video
The Call Backspread (reverse Call Ratio Spread) is a bullish strategy in options trading that involves selling a number of call options and buying more call options of the same underlying stock and expiration date at a higher strike price. It is an unlimited profit, limited risk options trading strategy that is taken when the options trader thinks that the underlying stock will experience significant upside movement in the near term.