Here are the Pros and Cons of Using Options Call Debit Spreads

When you're bullish on a stock and expect it to move higher, your initial impulse may be to play the stock options and buy a long call contract. There's nothing wrong with that if you believe a rapid price spike will happen in a relatively short period of time. Remember that Theta (time decay) works against you. If you decide to take a call option several months out, that can help buffer the Theta a bit, but you will be paying a hefty premium.Instead, you can consider a cheaper strategy that will provide up ...