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I have a few basic question about vertical spreads please, just so I am sure I get my terminology and understanding correct I understand there is a 'credit' spread and a 'debit' spread As far as I know the above is nothing to do with weather the spread is above or below the market, but weather or not your get a 'credit' (take in a net premium) or you have to pay a 'debit' cost you money to take on the position, is that correct ? if the above is correct then assuming the underlying is trading at $100 if I sold a 'call' credit spread this would mean I sold an option that consisted of for example short call at strike $110 long call at strike $120 is the above a correct description of a call credit spread correct ? then if I short put at strike $90 long put at strike $85 the above would represent a put credit spread ? long call at strike $110 short call at strike $120 the above would represent a call debit spread ? long put at strike $90 short put at strike $85 the above would represent a put debit spread ? Thanks very much CXMelga
