THE COLLAR	BULL CALENDER SPREAD
About Strategy	The Collar Option Strategy Collar Strategy is an extension to Covered Call Strategy. A trader, who is bullish in nature but has a very low risk appetite and wants to mitigate his risk will implement the Collar Strategy. Collar involves buying of stock in either Cash/Futures Market, buying an ATM Put Option & selling an OTM Call Option. The expiry dates of the op Read more..	Bull Calendar Spread Option Strategy This strategy is implemented when a trader is bullish on the underlying stock/index in the short term say 2 months or so. A trader will write one Near Month OTM Call Option and buy one next Month OTM Call Option, thereby reducing the cost of purchase, with the same strike price of the same underlying asset. This strategy is used when a trader wants to make prof .. Read more..

THE COLLAR Vs BULL CALENDER SPREAD - Details

	THE COLLAR	BULL CALENDER SPREAD
Market View	Bullish	Bullish
Type (CE/PE)	CE (Call Option) + PE (Put Option) + Underlying	CE (Call Option) + PE (Put Option)
Number Of Positions	3	2
Strategy Level	Advance	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Price of Features - Call Premium + Put Premium	Stock Price when long call value is equal to net debit.

THE COLLAR Vs BULL CALENDER SPREAD - When & How to use ?

	THE COLLAR	BULL CALENDER SPREAD
Market View	Bullish	Bullish
When to use?	It should be used only in case where trader is certain about the bearish market view.	This strategy is used when a trader wants to make profit from a steady increase in the stock price over a short period of time.
Action	Buy Underlying, Buy 1 ATM Put Option, Sell 1 OTM Call Option	Sell 1 Near-Term OTM Call, Buy 1 Long-Term OTM Call
Breakeven Point	Price of Features - Call Premium + Put Premium	Stock Price when long call value is equal to net debit.

THE COLLAR Vs BULL CALENDER SPREAD - Risk & Reward

	THE COLLAR	BULL CALENDER SPREAD
Maximum Profit Scenario	Strike Price of Short Call - Purchase Price of Underlying + Net Premium Received	You have unlimited profit potential to the upside.
Maximum Loss Scenario	Purchase Price of Underlying - Strike Price of Long Put - Net Premium Received	Max Loss = Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Unlimited

THE COLLAR Vs BULL CALENDER SPREAD - Strategy Pros & Cons

	THE COLLAR	BULL CALENDER SPREAD
Similar Strategies	Call Spread, Bull Put Spread	The Collar, Bull Put Spread
Disadvantage	• Limited profit. • A trader can book more profit without this strategy if the prices goes high.	• Limited profit even if underlying asset rallies. • If the short call options are assigned when the underlying asset rallies then losses can be sustained.
Advantages	• This strategy protects the losses on underlying asset. • Risk gets limited if the price of the stocks goes down. • Trader can get ownership benefits life dividend and voting rights.	• Limited losses to the net debit. • Enable trader to book profit even if underlying asset stays stagnant. • If the market trends reverse, cashing in from stock price movement at limited risk.