NEUTRAL CALENDAR SPREAD	PROTECTIVE CALL
About Strategy	Neutral Calendar Spread Option strategy  This strategy is implemented if the trader is neutral in the near future for say 2 months or so. This strategy involves writing of Near Month 1 ATM Call Option and buying 1 Mid Month ATM Call Option, hence reducing the cost of purchase, with the same strike price of the same underlying asset. This strategy is used when the trader wants to make money from the Read more..	Protective Call Option Strategy This strategy is simply the reversal of the Synthetic Call Strategy. This strategy is implemented when a trader is bearish on the market and expects to go down. Trader will short underlying stock in the cash market and buy either an ATM Call Option or OTM Call Option. The Call Option is bought to protect / hedge the upside risk on the short position. The .. Read more..

NEUTRAL CALENDAR SPREAD Vs PROTECTIVE CALL - Details

	NEUTRAL CALENDAR SPREAD	PROTECTIVE CALL
Market View	Neutral	Bearish
Type (CE/PE)	CE (Call Option)	CE (Call Option)
Number Of Positions	2	1
Strategy Level	Beginners	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	-	Sale Price of Underlying + Premium Paid

NEUTRAL CALENDAR SPREAD Vs PROTECTIVE CALL - When & How to use ?

	NEUTRAL CALENDAR SPREAD	PROTECTIVE CALL
Market View	Neutral	Bearish
When to use?	This strategy is implemented if the trader is neutral in the near future for say 2 months or so. This strategy involves writing of Near Month 1 ATM Call Option and buying 1 Mid Month ATM Call Option.	This strategy is implemented when a trader is bearish on the market and expects to go down.
Action	Sell 1 Near-Term ATM Call, Buy 1 Long-Term ATM Call	Buy 1 ATM Call
Breakeven Point	-	Sale Price of Underlying + Premium Paid

NEUTRAL CALENDAR SPREAD Vs PROTECTIVE CALL - Risk & Reward

	NEUTRAL CALENDAR SPREAD	PROTECTIVE CALL
Maximum Profit Scenario	Maximum Profit Limited When underlying stock price remains unchanged on expiration of the near month options.	Sale Price of Underlying - Price of Underlying - Premium Paid
Maximum Loss Scenario	It occurs when the stock price goes down and stays down until expiration of the longer term options.	Premium Paid + Call Strike Price - Sale Price of Underlying + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Unlimited

NEUTRAL CALENDAR SPREAD Vs PROTECTIVE CALL - Strategy Pros & Cons

	NEUTRAL CALENDAR SPREAD	PROTECTIVE CALL
Similar Strategies	Long Put Butterfly, Iron Butterfly	Put Backspread, Long Put
Disadvantage	• Lower profitability • Must have enough experience.	• Profitable when market moves as expected. • Not good for beginners.
Advantages	• Almost zero margin required. • Ability to profit from time decay, limited risk. • This strategy allows you to transform position into long position.	• Limited risk if the market moves in opposite direction as expected. • Allows you to keep open a profitable position to make further profits. • Unlimited profit potential.