BEAR PUT SPREAD	REVERSE IRON BUTTERFLY
About Strategy	Bear Put Spread Option Strategy  When a trader is moderately bearish on the market he can implement this strategy. Bear-Put-Spread involves buying of ITM Put Option and selling of an OTM Put Option. If prices fall, the ITM Put option starts making profits and the OTM Put option also adds to profit at a certain extent if the expiry price stays above the OTM strike. However, if it falls below the OTM Read more..	Reverse Iron Butterfly Option Strategy Reverse Iron Butterfly as the name suggests is the opposite of Iron Butterfly. In Reverse Iron Butterfly, a trader is bullish on volatility and expects the market to make significant move in the near future in either directions. Here a trader will buy 1 ATM Call Option, sell 1 OTM Call Option, buy 1 ATM Put Option, sell 1 OTM Put Option. This strategy also bags lim .. Read more..

BEAR PUT SPREAD Vs REVERSE IRON BUTTERFLY - Details

	BEAR PUT SPREAD	REVERSE IRON BUTTERFLY
Market View	Bearish	Neutral
Type (CE/PE)	PE (Put Option)	CE (Call Option) + PE (Put Option)
Number Of Positions	2	4
Strategy Level	Advance	Advance
Reward Profile	Limited	Limited
Risk Profile	Limited	Limited
Breakeven Point	Strike Price of Long Put - Net Premium	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid

BEAR PUT SPREAD Vs REVERSE IRON BUTTERFLY - When & How to use ?

	BEAR PUT SPREAD	REVERSE IRON BUTTERFLY
Market View	Bearish	Neutral
When to use?	The bear call spread options strategy is used when you are bearish in market view. The strategy minimizes your risk in the event of prime movements going against your expectations.	This strategy is used when a trader is bullish on volatility and expects the market to make significant move in the near future in either directions.
Action	Buy ITM Put Option, Sell OTM Put Option	Sell 1 OTM Put, Buy 1 ATM Put, Buy 1 ATM Call, Sell 1 OTM Call
Breakeven Point	Strike Price of Long Put - Net Premium	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid

BEAR PUT SPREAD Vs REVERSE IRON BUTTERFLY - Risk & Reward

	BEAR PUT SPREAD	REVERSE IRON BUTTERFLY
Maximum Profit Scenario	Max Profit = Strike Price of Long Put - Strike Price of Short Put - Net Premium Paid.	Strike Price of Short Call (or Long Put) - Strike Price of Long Call (or Short Put) - Net Premium Paid - Commissions Paid
Maximum Loss Scenario	Max Loss = Net Premium Paid.	Net Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Limited

BEAR PUT SPREAD Vs REVERSE IRON BUTTERFLY - Strategy Pros & Cons

	BEAR PUT SPREAD	REVERSE IRON BUTTERFLY
Similar Strategies	Bear Call Spread, Bull Call Spread	Short Put Butterfly, Short Condor
Disadvantage	• Limited profit. • Early assignment risk.	• Potential loss is higher than gain, complex strategy. • Not suitable for beginners.
Advantages	• If the strike price, expiration date or underlying stocks are rightly chosen then risk of losses would be limited to the net premium paid. • This strategy works well in declining markets. • Limited risk.	• Able to profit whether stocks move in either direction up or down. • This strategy can be used by option traders who cannot use credit spreads. • Predictable maximum loss and profits, volatile strategy.