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roll down

 - 1 dictionary result
Financial Dictionary

Roll Down

When an investor replaces an old options position with new one at a lower strike price.

Investopedia Commentary

When investors are bearish on a stock they will typically roll down.

Related Links

Options Basics Tutorial
What To Do When Your Trade Goes Awry
Managing Bull Put Spreads With A Simple Adjustment Plan

See also: Option, Roll Forward, Roll Up, Strike Price

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