Calendar Spread


DEFINITION of 'Calendar Spread'

An options or futures spread established by simultaneously entering a long and short position on the same underlying asset but with different delivery months. Sometimes referred to as an interdelivery, intramarket, time or horizontal spread.

BREAKING DOWN 'Calendar Spread'

An example of a calendar spread would be going long on a crude oil futures contract with delivery next month and going short on a crude oil futures contract whose delivery is in six months.

  1. Far Option

    The option with the longer time to expiration in a calendar option ...
  2. Reverse Calendar Spread

    An options or futures spread established by purchasing a position ...
  3. Interdelivery Spread

    Simultaneously entering a long and short on the same futures ...
  4. Delivery Month

    A key characteristic of a futures contract that designates when ...
  5. Intercommodity Spread

    Going long on one futures market in a given delivery month and ...
  6. Futures

    A financial contract obligating the buyer to purchase an asset ...
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