CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	NEUTRAL CALENDAR SPREAD
About Strategy	Christmas Tree Spread with Call Option Strategy This Strategy is an advance option strategy that consists of three legs and six total options. In this strategy buying one call at strike price A, skipping strike price B, writes three calls at strike price C, and buying two calls at strike price D for same expiration dates for neutral to bullish forecast. An investor used this strategy to potential retur Read more..	Neutral Calendar Spread Option strategy  This strategy is implemented if the trader is neutral in the near future for say 2 months or so. This strategy involves writing of Near Month 1 ATM Call Option and buying 1 Mid Month ATM Call Option, hence reducing the cost of purchase, with the same strike price of the same underlying asset. This strategy is used when the trader wants to make money from the .. Read more..

CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY Vs NEUTRAL CALENDAR SPREAD - Details

	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	NEUTRAL CALENDAR SPREAD
Market View	Bullish	Neutral
Type (CE/PE)	CE (Call Option)	CE (Call Option)
Number Of Positions	4	2
Strategy Level	Advance	Beginners
Reward Profile	Limited	Limited
Risk Profile	Limited	Limited
Breakeven Point	Lowest strike prices + premium paid – the half premium.	-

CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY Vs NEUTRAL CALENDAR SPREAD - When & How to use ?

	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	NEUTRAL CALENDAR SPREAD
Market View	Bullish	Neutral
When to use?	This Strategy is used when an investor wants potential returns.	This strategy is implemented if the trader is neutral in the near future for say 2 months or so. This strategy involves writing of Near Month 1 ATM Call Option and buying 1 Mid Month ATM Call Option.
Action	• Buy 1 call , • Sell 3 calls, • Buy 2 calls	Sell 1 Near-Term ATM Call, Buy 1 Long-Term ATM Call
Breakeven Point	Lowest strike prices + premium paid – the half premium.	-

CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY Vs NEUTRAL CALENDAR SPREAD - Risk & Reward

	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	NEUTRAL CALENDAR SPREAD
Maximum Profit Scenario	Equal middle strike price – lower strike price – the premium	Maximum Profit Limited When underlying stock price remains unchanged on expiration of the near month options.
Maximum Loss Scenario	Net Debit paid for the strategy.	It occurs when the stock price goes down and stays down until expiration of the longer term options.
Risk	Limited	Limited
Reward	Limited	Limited

CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY Vs NEUTRAL CALENDAR SPREAD - Strategy Pros & Cons

	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY	NEUTRAL CALENDAR SPREAD
Similar Strategies	CHRISTMAS TREE SPREAD WITH PUT OPTION	Long Put Butterfly, Iron Butterfly
Disadvantage	• Potential profit is lower or limited.	• Lower profitability • Must have enough experience.
Advantages	• The potential of loss is limited.	• Almost zero margin required. • Ability to profit from time decay, limited risk. • This strategy allows you to transform position into long position.