bullet trade

noun

A secondary market trade involving the purchasing of an underlying asset already in the money, allowing the option buyer to capitalize on the move without waiting for the exchange-mandated price change.

Ask AI about this wordChatGPTClaudePerplexityGoogle AIGrok

Meanings

nounbullet trade (countable and uncountable, plural bullet trades)

plural bullet trades

  1. countableuncountablebusinessA secondary market trade involving the purchasing of an underlying asset already in the money, allowing the option buyer to capitalize on the move without waiting for the exchange-mandated price change.

Origin

bullet + trade, implying the high velocity of a bullet during trading.

Full word history & related roots →
Cite this entry
APA

bullet trade. (n.d.). In WatkinsX Dictionary. Retrieved November 4, 2026, from https://dictionary.watkinsx.com/word/bullet%20trade

MLA

“bullet trade.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/bullet%20trade. Accessed November 4, 2026.

Chicago

WatkinsX Dictionary, s.v. “bullet trade,” accessed November 4, 2026, https://dictionary.watkinsx.com/word/bullet%20trade.

Source: bullet trade on Wiktionary, CC BY-SA 4.0.