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Bull Call Spread

A bull call spread is an options trading strategy used when an investor expects a moderate increase in a stock's price. It involves buying a call option at a lower strike price and simultaneously selling a call option at a higher strike price, both with the same expiration date. This limits the maximum profit and loss. The goal is to benefit from the stock’s rise while reducing upfront costs. Essentially, it’s a way to bet on modest upward movement with controlled risk and potential reward, making it a balanced approach for bullish market expectations.