BULL PUT SPREAD	REVERSE IRON BUTTERFLY
About Strategy	Bull Put Spread Option Strategy Bull Put Spread option trading strategy is used by a trader who is bullish in nature and expects the underlying asset to move in an upward trend in the near future. This strategy includes buying of an ‘Out of the Money’ Put Option and selling of ‘In the Money’ Put Option of the same underlying asset and the same expiration date. When you write a Put, you will receive prem 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..

BULL PUT SPREAD Vs REVERSE IRON BUTTERFLY - Details

	BULL PUT SPREAD	REVERSE IRON BUTTERFLY
Market View	Bullish	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 short put - net premium paid	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid

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

	BULL PUT SPREAD	REVERSE IRON BUTTERFLY
Market View	Bullish	Neutral
When to use?	Bull Put Spread strategy is used when you're of the view that the price of a particular underlying will rise, move sideways, or marginally fall.	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 OTM Put Option, Sell ITM Put Option	Sell 1 OTM Put, Buy 1 ATM Put, Buy 1 ATM Call, Sell 1 OTM Call
Breakeven Point	Strike price of short put - net premium paid	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid

BULL PUT SPREAD Vs REVERSE IRON BUTTERFLY - Risk & Reward

	BULL PUT SPREAD	REVERSE IRON BUTTERFLY
Maximum Profit Scenario	Max Profit = Net Premium Received	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 = (Strike Price Put 1 - Strike Price of Put 2) - Net Premium Received	Net Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Limited

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

	BULL PUT SPREAD	REVERSE IRON BUTTERFLY
Similar Strategies	Bull Call Spread, Bear Put Spread, Collar	Short Put Butterfly, Short Condor
Disadvantage	• Limited profit potential. • In loss situations, time decay may go against you.	• Potential loss is higher than gain, complex strategy. • Not suitable for beginners.
Advantages	• Benefit from the time decay in profit positions but harmful in loss positions. • Profitable when underlying stock price rises, move sideways or marginal drop. • Reduce the downside 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.