Spread trading is one of the most popular advanced futures trading strategies. It involves taking a long or short position on two related instruments or commodities, usually at different prices and with different expirations. By buying or selling both sides of the spread simultaneously, a trader can benefit from price discrepancies between the two instruments rather than just assuming a directional bet. This strategy can be used to hedge against market volatility, reduce risk, and capitalise on small price movements that would otherwise have gone unnoticed in traditional markets. Regarding options on futures, traders can purchase contracts that give them certain rights but not obligations. These rights enable the trader…