LONG CALL CONDOR SPREAD	COVERED COMBINATION
About Strategy	Long Call Condor Spread Option Strategy  This strategy is implemented when a trader is bearish on the volatility and expects the market to move sideways. Using Call Options of the same expiry date, he will buy one Deep ITM Call Option, sell 1 ITM Call Option, sell 1 OTM Call Option, buy 1 Deep OTM Call Option. The risk and reward both are limited due to offsetting of long and short positions. For t Read more..	Covered Combination Option Strategy This strategy involves selling OTM Call & Put Options and buying the underlying asset in either cash or futures market. It is also known as Covered Strangle as the profits are capped and risk is potentially unlimited. Risk: Un .. Read more..

LONG CALL CONDOR SPREAD Vs COVERED COMBINATION - Details

	LONG CALL CONDOR SPREAD	COVERED COMBINATION
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option)	CE (Call Option) + PE (Put Option)
Number Of Positions	4	2
Strategy Level	Advance	Advance
Reward Profile	Limited	Limited
Risk Profile	Limited	Unlimited
Breakeven Point	Lower Breakeven = Lower Strike Price + Net Premium Upper breakeven = Higher Strike Price - Net Premium	(Purchase Price of Underlying + Strike Price of Short Put - Net Premium Received) / 2

LONG CALL CONDOR SPREAD Vs COVERED COMBINATION - When & How to use ?

	LONG CALL CONDOR SPREAD	COVERED COMBINATION
Market View	Neutral	Bullish
When to use?	This strategy works well when you expect the price of the underlying asset to be range bound in the coming days.	This strategy is mainly suited for investors who are moderately bullish on a stock and are comfortable with increasing their position in the event of a price decline.
Action	Buy Deep ITM Call Option, Buy Deep OTM Call Option, Sell ITM Call Option, Sell OTM Call Option	Sell 1 OTM Call, Sell 1 OTM Put
Breakeven Point	Lower Breakeven = Lower Strike Price + Net Premium Upper breakeven = Higher Strike Price - Net Premium	(Purchase Price of Underlying + Strike Price of Short Put - Net Premium Received) / 2

LONG CALL CONDOR SPREAD Vs COVERED COMBINATION - Risk & Reward

	LONG CALL CONDOR SPREAD	COVERED COMBINATION
Maximum Profit Scenario	Strike Price of Lower Strike Short Call - Strike Price of Lower Strike Long Call - Net Premium Paid	Strike Price of Short Call - Purchase Price of Underlying + Net Premium Received - Commissions Paid
Maximum Loss Scenario	Net Premium Paid	Purchase Price of Underlying + Strike Price of Short Put - (2 x Price of Underlying) - Max Profit + Commissions Paid
Risk	Limited	Unlimited
Reward	Limited	Limited

LONG CALL CONDOR SPREAD Vs COVERED COMBINATION - Strategy Pros & Cons

	LONG CALL CONDOR SPREAD	COVERED COMBINATION
Similar Strategies	Long Put Butterfly, Short Call Condor, Short Strangle	Stock Repair Strategy
Disadvantage	• Amount of profit is comparatively low. • As this strategy has 4 legs so the brokerage cost is higher that will affect your profit.	Combinations can be profitable in sideways or rising markets. Greater combined net credit increases downside protection and potential return.
Advantages	• Capable to generate profit even if there is low volatility in the market. • This strategy is associated with limited risk and limited profit. • Wider profit zone.	Limited Maximum Profit on the upside. Covered Combinations should only be traded on stocks that are bullish.