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Alligator Spread
(redirected from Alligator Spreads)

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Alligator spread
The term used to describe a spread in the options market that generates such a large commission that the client is unlikely to make a profit even if the markets move as the investor anticipated.

Alligator Spread
Informal; a series of positions on different option contracts that is not and cannot be profitable, regardless of the direction of market movements.


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