LONG STRADDLE	BULL CALL SPREAD
About Strategy	Long Straddle Option Strategy  Straddle is neither bullish nor bearish strategy; it is a market neutral strategy. Here a trader wishes to take advantage of the volatility in the market. This strategy involves buying of one Call option and one Put option of the same strike price, same expiry date and of the same underlying asset. Now a trader is bound to make profits once stock moves in either direc Read more..	Bull Call Spread Option Strategy Bull Call Spread option trading strategy is used by a trader who is bullish in nature and expects the underlying asset to give decent returns in the near future. This strategy includes buying of an ‘In The Money’ Call Option and selling of ‘Deep Out Of the Money’ Call Option of the same underlying asset and the same expiration date. .. Read more..

LONG STRADDLE Vs BULL CALL SPREAD - Details

	LONG STRADDLE	BULL CALL SPREAD
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	CE (Call Option)
Number Of Positions	2	2
Strategy Level	Beginners	Beginners
Reward Profile	Unlimited	Limited
Risk Profile	Limited	Limited
Breakeven Point	Lower Breakeven = Strike Price of Put - Net Premium, Upper breakeven = Strike Price of Call + Net Premium	Strike price of purchased call + net premium paid

LONG STRADDLE Vs BULL CALL SPREAD - When & How to use ?

	LONG STRADDLE	BULL CALL SPREAD
Market View	Neutral	Bullish
When to use?	This options strategy is work well when and investor market view is bearish. The strategy minimizes your risk in the event of prime movements going against your expectations.	This strategy is used when an investor is Bullish in the market but expect the underlying to gain mildly in near future.
Action	Buy Call Option, Buy Put Option	Buy ITM Call Option, Sell OTM Call Option
Breakeven Point	Lower Breakeven = Strike Price of Put - Net Premium, Upper breakeven = Strike Price of Call + Net Premium	Strike price of purchased call + net premium paid

LONG STRADDLE Vs BULL CALL SPREAD - Risk & Reward

	LONG STRADDLE	BULL CALL SPREAD
Maximum Profit Scenario	Max profit is achieved when at one option is exercised.	(Strike Price of Call 1 - Strike Price of Call 2) - Net Premium Paid
Maximum Loss Scenario	Maximum Loss = Net Premium Paid	Net Premium Paid
Risk	Limited	Limited
Reward	Unlimited	Limited

LONG STRADDLE Vs BULL CALL SPREAD - Strategy Pros & Cons

	LONG STRADDLE	BULL CALL SPREAD
Similar Strategies	Bear Put Spread	Collar
Disadvantage	• There should be continuous movement of the stock and options price for this strategy to be profitable. • Time decay hurts long option if the strike price, expiration date or underlying stock are badly chosen.	• Limited profit potential to the higher strike call sold if the underlying stock price rises. • Maximum profit only if stock rises to the higher of 2 strike prices selected.
Advantages	• Unlimited potential beyond the breakeven point in either direction . • Book your profit from highly volatile stocks without determining the direction. • Limited risk, more profit.	• Allows you to reduce risk and cost of your investment. • When placing the spread, exit strategy is pre-determined in advance. • Risk is limited to the net premium paid.