LONG GUTS	NEUTRAL CALENDAR SPREAD
About Strategy	Long Guts Option Strategy  This strategy is implemented by a trader when he is neutral on the movements and bullish on volatility i.e. he expects the stock to move in either direction with high magnitude. This strategy involves buying 1 ITM Call Option and 1 ITM Put Option. This strategy can be called as Debit Spread because trader’s account is debited at the time of entering the positions.< Read more..	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..

LONG GUTS Vs NEUTRAL CALENDAR SPREAD - Details

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

LONG GUTS Vs NEUTRAL CALENDAR SPREAD - When & How to use ?

	LONG GUTS	NEUTRAL CALENDAR SPREAD
Market View	Neutral	Neutral
When to use?	This strategy is implemented by a trader when he is neutral on the movements and bullish on volatility i.e. he expects the stock to move in either direction with high magnitude.	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.
Action	Buy 1 ITM Call, Buy 1 ITM Put	Sell 1 Near-Term ATM Call, Buy 1 Long-Term ATM Call
Breakeven Point	Upper Breakeven Point = Net Premium Paid + Strike Price of Long Call, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid	-

LONG GUTS Vs NEUTRAL CALENDAR SPREAD - Risk & Reward

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

LONG GUTS Vs NEUTRAL CALENDAR SPREAD - Strategy Pros & Cons

	LONG GUTS	NEUTRAL CALENDAR SPREAD
Similar Strategies	Short Put Ladder, Strip, Strap	Long Put Butterfly, Iron Butterfly
Disadvantage	• More commission involved than simply buying call or put option. • Expensive.	• Lower profitability • Must have enough experience.
Advantages	• Investors can get unlimited profit if the underlying asset goes up or down. • Ability to profit no matter if the market goes in either direction. • Limited loss.	• Almost zero margin required. • Ability to profit from time decay, limited risk. • This strategy allows you to transform position into long position.