Bear Put Spread

bearish2 legs

Also known as: Put Debit Spread · Vertical Put Spread · Long Put Spread

Buy higher-strike put + sell lower-strike put. Defined risk; bear put debit spread.

Payoff shape at expiration (illustrative)

Shape illustration on a normalized underlying — open the Lab below to price it on a real option chain.

How it works

Buy a put and sell a lower-strike put, same expiration. The short put reduces the cost; profit caps at the spread width minus the debit.

When to use it

When you expect a decline to around a level. Cheaper than a naked long put and less bleed from time decay.

What can go wrong

Maximum loss is the net debit paid. If the stock stays flat or rises, the spread decays to zero.

How it compares

vs. Long Put

Similar: Both defined-risk bearish debits.

Different: The spread trades away deep-crash profit for a smaller cost and less decay.

vs. Bear Call Spread

Similar: Both are defined-risk bearish spreads.

Different: The put spread PAYS a debit and needs the drop to happen; the call spread COLLECTS a credit and wins if the stock merely fails to rally.

New to options? Start with the free curriculum — or see which strategy fits your outlook.

Educational content — not investment advice. Options involve substantial risk and are not suitable for every investor. All trading on Opus Options Trading is simulated.