CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	LONG PUT
About Strategy	Christmas Tree Spread with Call Option Strategy This Strategy is an advance option strategy that consists of three legs and six total options. In this strategy buying one call at strike price A, skipping strike price B, writes three calls at strike price C, and buying two calls at strike price D for same expiration dates for neutral to bullish forecast. An investor used this strategy to potential retur 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..

CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY Vs LONG PUT - Details

	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	LONG PUT
Market View	Bullish	Bearish
Type (CE/PE)	CE (Call Option)	PE (Put Option)
Number Of Positions	4	1
Strategy Level	Advance	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Lowest strike prices + premium paid – the half premium.	Strike Price of Long Put - Premium Paid

CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY Vs LONG PUT - When & How to use ?

	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	LONG PUT
Market View	Bullish	Bearish
When to use?	This Strategy is used when an investor wants potential returns.	A long put option strategy works well when you're expecting the underlying asset to sharply decline or be volatile in near future.
Action	• Buy 1 call , • Sell 3 calls, • Buy 2 calls	Buy Put Option
Breakeven Point	Lowest strike prices + premium paid – the half premium.	Strike Price of Long Put - Premium Paid

CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY Vs LONG PUT - Risk & Reward

	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	LONG PUT
Maximum Profit Scenario	Equal middle strike price – lower strike price – the premium	Profit = Strike Price of Long Put - Premium Paid
Maximum Loss Scenario	Net Debit paid for the strategy.	Max Loss = Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Unlimited

CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY Vs LONG PUT - Strategy Pros & Cons

	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	LONG PUT
Similar Strategies	CHRISTMAS TREE SPREAD WITH PUT OPTION	Protective Call, Short Put
Disadvantage	• Potential profit is lower or limited.	• 100% loss if strike price, expiration dates or underlying stocks are badly chosen. • Time decay.
Advantages	• The potential of loss is limited.	• Limited risk to the premium paid. • Less capital investment and more profit. • Unlimited profit potential with limited risk.