Answer: Negative theta, negative vega, positive gamma

When buying short-term options and selling long-term options: **Position characteristics:** - **Negative theta**: Buying options (especially short-term) results in negative time decay - **Negative vega**: Selling long-term options (which have higher vega) dominates the vega exposure - **Positive gamma**: Buying options (especially short-term) gives positive gamma **Analysis of other options:** - (A) Sell short-term + sell long-term: Positive theta, negative vega, negative gamma - (B) Sell short-term + buy long-term: Positive theta, positive vega, negative gamma - (D) Buy short-term + buy long-term: Negative theta, positive vega, positive gamma This strategy is typically used when expecting large price movements in the near term but stable volatility in the longer term.

Author: LeetQuiz Editorial Team