SHORT GUTS	MARRIED PUT
About Strategy	Short Guts Option Strategy  This strategy is implemented by a trader when he is neutral on the movements and bearish on volatility i.e. he expects the stock to be range bound in the near future. This strategy involves sale of 1 ITM Call Option and 1 ITM Put Option. This strategy can be called as Credit Spread since his account is credited at the time of entering in the positions. < Read more..	Married Put Option Strategy This strategy is applied when trader goes long on the underlying asset i.e. he buys the stock in cash market. He has a bullish view and expects the market to rise in the near future, but simultaneously has the fear of downward movement of the markets. In order to cover his position from vulnerabilities he buys one ATM Put Option of the same underlying asset. Here, a trader wi .. Read more..

SHORT GUTS Vs MARRIED PUT - Details

	SHORT GUTS	MARRIED PUT
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	PE (Put Option)
Number Of Positions	2	1
Strategy Level	Beginners	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Unlimited	Limited
Breakeven Point	Upper Breakeven Point = Net Premium Received + Strike Price of Short Call, Lower Breakeven Point = Strike Price of Short Put - Net Premium Received	Purchase Price of Underlying + Premium Paid

SHORT GUTS Vs MARRIED PUT - When & How to use ?

	SHORT GUTS	MARRIED PUT
Market View	Neutral	Bullish
When to use?	This strategy is implemented by a trader when he is neutral on the movements and bearish on volatility i.e. he expects the stock to be range bound in the near future.	This Strategy work when the investor goes long in any stock. He expects the rise in market in future.
Action	Sell 1 ITM Call, Sell 1 ITM Put	Buy 250 XYZ Shares, Buy 1 ATM Put Option
Breakeven Point	Upper Breakeven Point = Net Premium Received + Strike Price of Short Call, Lower Breakeven Point = Strike Price of Short Put - Net Premium Received	Purchase Price of Underlying + Premium Paid

SHORT GUTS Vs MARRIED PUT - Risk & Reward

	SHORT GUTS	MARRIED PUT
Maximum Profit Scenario	Net Premium Received + Strike Price of Short Put - Strike Price of Short Call - Commissions Paid	Profit = Price of Underlying - Purchase Price of Underlying - Premium Paid
Maximum Loss Scenario	Price of Underlying - Strike Price of Short Call - Net Premium Received OR Strike Price of Short Put - Price of Underlying - Net Premium Received + Commissions Paid	Max Loss = Premium Paid + Commissions Paid
Risk	Unlimited	Limited
Reward	Limited	Unlimited

SHORT GUTS Vs MARRIED PUT - Strategy Pros & Cons

	SHORT GUTS	MARRIED PUT
Similar Strategies	Short Strangle (Sell Strangle), Short Straddle (Sell Straddle)	Long Call
Disadvantage	• Unlimited potential loss if the underlying stock continues to move in one direction. • High margin required.	Cost of the put options eats into profit margin.
Advantages	• Ability to profit even when underlying asset stays stagnant. • You are already paid your full profit the moment the position is put on as this is a credit spread position. • Higher chance of ending in full profit as compared to short strangle or short straddle.	Unlimited Profit and Limited Risk