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Short Leg

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short leg
The side of an option spread that has been sold short. With a spread made up of owning a September 30 call and being short a December 30 call, the December 30 call is the short leg. Compare long leg.
Short Leg
In an option spread, any option contract on which one has a short position. For example, if one has bought a call and sold a put as part of one's option strategy, the put is said to be the short leg of the spread.


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