BULL PUT SPREAD	LONG PUT
About Strategy	Bull Put Spread Option Strategy Bull Put Spread option trading strategy is used by a trader who is bullish in nature and expects the underlying asset to move in an upward trend in the near future. This strategy includes buying of an ‘Out of the Money’ Put Option and selling of ‘In the Money’ Put Option of the same underlying asset and the same expiration date. When you write a Put, you will receive prem 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..

BULL PUT SPREAD Vs LONG PUT - Details

	BULL PUT SPREAD	LONG PUT
Market View	Bullish	Bearish
Type (CE/PE)	PE (Put Option)	PE (Put Option)
Number Of Positions	2	1
Strategy Level	Advance	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Strike price of short put - net premium paid	Strike Price of Long Put - Premium Paid

BULL PUT SPREAD Vs LONG PUT - When & How to use ?

	BULL PUT SPREAD	LONG PUT
Market View	Bullish	Bearish
When to use?	Bull Put Spread strategy is used when you're of the view that the price of a particular underlying will rise, move sideways, or marginally fall.	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 OTM Put Option, Sell ITM Put Option	Buy Put Option
Breakeven Point	Strike price of short put - net premium paid	Strike Price of Long Put - Premium Paid

BULL PUT SPREAD Vs LONG PUT - Risk & Reward

	BULL PUT SPREAD	LONG PUT
Maximum Profit Scenario	Max Profit = Net Premium Received	Profit = Strike Price of Long Put - Premium Paid
Maximum Loss Scenario	Max Loss = (Strike Price Put 1 - Strike Price of Put 2) - Net Premium Received	Max Loss = Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Unlimited

BULL PUT SPREAD Vs LONG PUT - Strategy Pros & Cons

	BULL PUT SPREAD	LONG PUT
Similar Strategies	Bull Call Spread, Bear Put Spread, Collar	Protective Call, Short Put
Disadvantage	• Limited profit potential. • In loss situations, time decay may go against you.	• 100% loss if strike price, expiration dates or underlying stocks are badly chosen. • Time decay.
Advantages	• Benefit from the time decay in profit positions but harmful in loss positions. • Profitable when underlying stock price rises, move sideways or marginal drop. • Reduce the downside risk.	• Limited risk to the premium paid. • Less capital investment and more profit. • Unlimited profit potential with limited risk.