IRON BUTTERFLY	BULL PUT SPREAD
About Strategy	Iron Butterfly Option Strategy  This strategy is implemented when a trader is bearish on the volatility of market and neutral on the market movements. A trader will buy 1 OTM Put Option, sell 1 ATM Put Option, sell 1 ATM Call Option, buy 1 OTM Call Option. Due to offsetting of long and short positions, this strategy bags limited profit with limited risk. Read more..	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..

IRON BUTTERFLY Vs BULL PUT SPREAD - Details

	IRON BUTTERFLY	BULL PUT SPREAD
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	PE (Put Option)
Number Of Positions	4	2
Strategy Level	Advance	Advance
Reward Profile	Limited	Limited
Risk Profile	Limited	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Short Call + Net Premium Received, Lower Breakeven Point = Strike Price of Short Put - Net Premium Received	Strike price of short put - net premium paid

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

	IRON BUTTERFLY	BULL PUT SPREAD
Market View	Neutral	Bullish
When to use?	This strategy is implemented when a trader is bearish on the volatility of market and neutral on the market movements.	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.
Action	Buy 1 OTM Put, Sell 1 ATM Put, Sell 1 ATM Call, Buy 1 OTM Call	Buy OTM Put Option, Sell ITM Put Option
Breakeven Point	Upper Breakeven Point = Strike Price of Short Call + Net Premium Received, Lower Breakeven Point = Strike Price of Short Put - Net Premium Received	Strike price of short put - net premium paid

IRON BUTTERFLY Vs BULL PUT SPREAD - Risk & Reward

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

IRON BUTTERFLY Vs BULL PUT SPREAD - Strategy Pros & Cons

	IRON BUTTERFLY	BULL PUT SPREAD
Similar Strategies	Long Put Butterfly, Neutral Calendar Spread	Bull Call Spread, Bear Put Spread, Collar
Disadvantage	• Large commissions involved. • Probability of losses are higher.	• Limited profit potential. • In loss situations, time decay may go against you.
Advantages	• Less amount of capital investment, steady income with low risk. • Traders can predict maximum loss and profit. • Versatile strategy, investors can transform position into bear call spread or bull put spread easily.	• 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.