An ORDER to purchase a block of securities at a price that is lower than the current market price.
Category: B
BUTTED AND BOUNDED
BUY SIDE
BUTTERFLY SPREAD
A three-legged option spread in which each leg has the same expiration date but different strike prices. For example, a butterfly spread in soybean call options might consist of one long call at a $5.50 strike price, two short calls at a $6.00 strike price, and one long call at a $6.50 strike price.