Netflix stock (NFLX) has been on a downtrend for three months. A calendar spread involves selling a short-term option and buying a longer-term one with the same strike. Neutral, bullish, or bearish strategies can be used. For a neutral outlook on NFLX, a trade example was provided with a net cost and estimated profit. Netflix is a pioneer in streaming, with an extensive content library and global presence. The company is investing heavily in original shows to maintain its leading position in the market. Calendar spreads offer risk management through defined trades and position sizing. Investors should always conduct their own due diligence and consult a financial advisor before making any investment decisions.

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