LONG GUTS	LONG CALL
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..	Long Call Option Strategy This is one of the basic strategies as it involves entering into one position i.e. buying the Call Option only. Any investor who buys the Call Option will be bullish in nature and would be expecting the market to give decent returns in the near future. Risk: Read more..

LONG GUTS Vs LONG CALL - Details

	LONG GUTS	LONG CALL
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	CE (Call Option)
Number Of Positions	2	1
Strategy Level	Beginners	Beginner Level
Reward Profile	Unlimited	Unlimited
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	Strike Price + Premium

LONG GUTS Vs LONG CALL - When & How to use ?

	LONG GUTS	LONG CALL
Market View	Neutral	Bullish (Any investor who buys the Call Option will be bullish in nature and would be expecting the market to give decent returns in the near future.)
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 work when an investor expect the underlying instrument move in upward direction.
Action	Buy 1 ITM Call, Buy 1 ITM Put	Buying Call option
Breakeven Point	Upper Breakeven Point = Net Premium Paid + Strike Price of Long Call, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid	Strike price + Premium

LONG GUTS Vs LONG CALL - Risk & Reward

	LONG GUTS	LONG CALL
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	Underlying Asset close above from the strike price on expiry.
Maximum Loss Scenario	Net Premium Paid + Strike Price of Long Put - Strike Price of Long Call + Commissions Paid	Premium Paid
Risk	Limited	Limited
Reward	Unlimited	Unlimited

LONG GUTS Vs LONG CALL - Strategy Pros & Cons

	LONG GUTS	LONG CALL
Similar Strategies	Short Put Ladder, Strip, Strap	Protective Put
Disadvantage	• More commission involved than simply buying call or put option. • Expensive.	• In this strategy, there is not protection against the underlying stock falling in value. • 100% loss if the strike price, expiration dates or underlying stocks are badly chosen.
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.	• Less investment, more profit. • Unlimited profit with limited risk. • High leverage than simply owning the stock.