LONG CALL	SHORT CALL
About Strategy	Long Call Option Strategy This is one of the basic strategies as it involves entering into one position i.e. buying the Call Option only. Any investor who buys the Call Option will be bullish in nature and would be expecting the market to give decent returns in the near future. Risk: Read more..	Short Call Option Strategy A trader shorts or writes a Call Option when he feels that underlying stock price is likely to go down. Selling Call Option is a strategy preferred for experienced traders. However this strategy is very risky in nature. If the stock rallies on the upside, your risk becomes potentially unquantifiable and unlimited. If the strategy .. Read more..

LONG CALL Vs SHORT CALL - Details

	LONG CALL	SHORT CALL
Market View	Bullish	Bearish
Type (CE/PE)	CE (Call Option)	CE (Call Option)
Number Of Positions	1	1
Strategy Level	Beginner Level	Advance
Reward Profile	Unlimited	Limited
Risk Profile	Limited	Unlimited
Breakeven Point	Strike Price + Premium	Strike Price of Short Call + Premium Received

LONG CALL Vs SHORT CALL - When & How to use ?

	LONG CALL	SHORT CALL
Market View	Bullish (Any investor who buys the Call Option will be bullish in nature and would be expecting the market to give decent returns in the near future.)	Bearish
When to use?	This strategy work when an investor expect the underlying instrument move in upward direction.	It is an aggressive strategy and involves huge risks. It should be used only in case where trader is certain about the bearish market view on the underlying.
Action	Buying Call option	Sell or Write Call Option
Breakeven Point	Strike price + Premium	Strike Price of Short Call + Premium Received

LONG CALL Vs SHORT CALL - Risk & Reward

	LONG CALL	SHORT CALL
Maximum Profit Scenario	Underlying Asset close above from the strike price on expiry.	Max Profit = Premium Received
Maximum Loss Scenario	Premium Paid	Loss Occurs When Price of Underlying > Strike Price of Short Call + Premium Received
Risk	Limited	Unlimited
Reward	Unlimited	Limited

LONG CALL Vs SHORT CALL - Strategy Pros & Cons

	LONG CALL	SHORT CALL
Similar Strategies	Protective Put	Covered Put, Covered Calls
Disadvantage	• In this strategy, there is not protection against the underlying stock falling in value. • 100% loss if the strike price, expiration dates or underlying stocks are badly chosen.	• Unlimited risk to the upside underlying stocks. • Potential loss more than the premium collected.
Advantages	• Less investment, more profit. • Unlimited profit with limited risk. • High leverage than simply owning the stock.	• With the help of this strategy, traders can book profit from falling prices in the underlying asset. • Less investment, more profit. • Traders can book profit when underlying stock price fall, move sideways or rise by a small amount.