BEAR PUT SPREAD	LONG STRADDLE
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..	Long Straddle Option Strategy  Straddle is neither bullish nor bearish strategy; it is a market neutral strategy. Here a trader wishes to take advantage of the volatility in the market. This strategy involves buying of one Call option and one Put option of the same strike price, same expiry date and of the same underlying asset. Now a trader is bound to make profits once stock moves in either direc .. Read more..

BEAR PUT SPREAD Vs LONG STRADDLE - Details

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

BEAR PUT SPREAD Vs LONG STRADDLE - When & How to use ?

	BEAR PUT SPREAD	LONG STRADDLE
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 options strategy is work well when and investor market view is bearish. The strategy minimizes your risk in the event of prime movements going against your expectations.
Action	Buy ITM Put Option, Sell OTM Put Option	Buy Call Option, Buy Put Option
Breakeven Point	Strike Price of Long Put - Net Premium	Lower Breakeven = Strike Price of Put - Net Premium, Upper breakeven = Strike Price of Call + Net Premium

BEAR PUT SPREAD Vs LONG STRADDLE - Risk & Reward

	BEAR PUT SPREAD	LONG STRADDLE
Maximum Profit Scenario	Max Profit = Strike Price of Long Put - Strike Price of Short Put - Net Premium Paid.	Max profit is achieved when at one option is exercised.
Maximum Loss Scenario	Max Loss = Net Premium Paid.	Maximum Loss = Net Premium Paid
Risk	Limited	Limited
Reward	Limited	Unlimited

BEAR PUT SPREAD Vs LONG STRADDLE - Strategy Pros & Cons

	BEAR PUT SPREAD	LONG STRADDLE
Similar Strategies	Bear Call Spread, Bull Call Spread	Bear Put Spread
Disadvantage	• Limited profit. • Early assignment risk.	• There should be continuous movement of the stock and options price for this strategy to be profitable. • Time decay hurts long option if the strike price, expiration date or underlying stock are badly chosen.
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.	• Unlimited potential beyond the breakeven point in either direction . • Book your profit from highly volatile stocks without determining the direction. • Limited risk, more profit.