LONG COMBO	LONG PUT
About Strategy	Long Combo Option Strategy  Long Combo Option Trading Strategy is implemented when a trader is bullish in nature and expects the stock price to rise in the near future. Here a trader will sell one ‘Out of the Money’ Put Option and buy one ‘Out of the Money’ Call Option. This trade will require less capital to implement since the amount required to buy the call will be covered by the amount received Read more..	Long Put Option Strategy This strategy is implemented by buying 1 Put Option i.e. a single position, when the person is bearish on the market and expects the market to move downwards in the near future. Risk: The maximum loss will be the premium amount paid.< .. Read more..

LONG COMBO Vs LONG PUT - Details

	LONG COMBO	LONG PUT
Market View	Bullish	Bearish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	PE (Put Option)
Number Of Positions	2	1
Strategy Level	Advance	Beginners
Reward Profile	Unlimited	Unlimited
Risk Profile	Unlimited	Limited
Breakeven Point	Call Strike + Net Premium	Strike Price of Long Put - Premium Paid

LONG COMBO Vs LONG PUT - When & How to use ?

	LONG COMBO	LONG PUT
Market View	Bullish	Bearish
When to use?	This strategy is used when an investor Bullish on an underlying but don't have the required capital or the risk appetite to invest directly into it.	A long put option strategy works well when you're expecting the underlying asset to sharply decline or be volatile in near future.
Action	Sell OTM Put Option, Buy OTM Call Option	Buy Put Option
Breakeven Point	Call Strike + Net Premium	Strike Price of Long Put - Premium Paid

LONG COMBO Vs LONG PUT - Risk & Reward

	LONG COMBO	LONG PUT
Maximum Profit Scenario	Underlying asset goes up and Call option exercised	Profit = Strike Price of Long Put - Premium Paid
Maximum Loss Scenario	Underlying asset goes down and Put option exercised	Max Loss = Premium Paid + Commissions Paid
Risk	Unlimited	Limited
Reward	Unlimited	Unlimited

LONG COMBO Vs LONG PUT - Strategy Pros & Cons

	LONG COMBO	LONG PUT
Similar Strategies	-	Protective Call, Short Put
Disadvantage	• Losses can keep on increasing as the price of stock goes down. • High risk strategy.	• 100% loss if strike price, expiration dates or underlying stocks are badly chosen. • Time decay.
Advantages	• Capital investment is low and returns are high. • Unlimited reward, returns keep on increasing with the increase on stock price. • Leverage facility provided by this strategy is very beneficial.	• Limited risk to the premium paid. • Less capital investment and more profit. • Unlimited profit potential with limited risk.