BULL PUT SPREAD	RATIO PUT SPREAD
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..	Ratio Put Spread Option Strategy  This strategy involves buying ITM Puts and simultaneously selling OTM Puts, double the number of ITM Puts. This strategy is used by a trader who is neutral on the market and bearish on the volatility in the near future. Here profits will be capped up to the premium amount and risk will be potentially unlimited. Read more..

BULL PUT SPREAD Vs RATIO PUT SPREAD - Details

	BULL PUT SPREAD	RATIO PUT SPREAD
Market View	Bullish	Neutral
Type (CE/PE)	PE (Put Option)	PE (Put Option)
Number Of Positions	2	3
Strategy Level	Advance	Beginners
Reward Profile	Limited	Limited
Risk Profile	Limited	Unlimited
Breakeven Point	Strike price of short put - net premium paid	Upper Breakeven Point = Strike Price of Long Put +/- Net Premium Received or Paid, Lower Breakeven Point = Strike Price of Short Puts - (Points of Maximum Profit / Number of Uncovered Puts)

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

	BULL PUT SPREAD	RATIO PUT SPREAD
Market View	Bullish	Neutral
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.	This strategy is used by a trader who is neutral on the market and bearish on the volatility in the near future.
Action	Buy OTM Put Option, Sell ITM Put Option	Buy 1 ITM Put, Sell 2 OTM Puts
Breakeven Point	Strike price of short put - net premium paid	Upper Breakeven Point = Strike Price of Long Put +/- Net Premium Received or Paid, Lower Breakeven Point = Strike Price of Short Puts - (Points of Maximum Profit / Number of Uncovered Puts)

BULL PUT SPREAD Vs RATIO PUT SPREAD - Risk & Reward

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

BULL PUT SPREAD Vs RATIO PUT SPREAD - Strategy Pros & Cons

	BULL PUT SPREAD	RATIO PUT SPREAD
Similar Strategies	Bull Call Spread, Bear Put Spread, Collar	Short Straddle (Sell Straddle), Short Strangle (Sell Strangle)
Disadvantage	• Limited profit potential. • In loss situations, time decay may go against you.	• Unlimited potential risk. • Limited profit.
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.	• Directional strategy so that there is either no upside or downside risk. • Able to profit even if trader is neutral on the market. • Higher probability of profit.