LONG COMBO	SHORT CALL LADDER
About Strategy	Long Combo Option Strategy  Long Combo Option Trading Strategy is implemented when a trader is bullish in nature and expects the stock price to rise in the near future. Here a trader will sell one ‘Out of the Money’ Put Option and buy one ‘Out of the Money’ Call Option. This trade will require less capital to implement since the amount required to buy the call will be covered by the amount received Read more..	Short Call Ladder Option Strategy  This strategy is implemented when a trader is moderately bullish on the market, and volatility. It involves sale of an ITM Call Option, buying of an ATM Call Option & OTM Call Option. The risk associated with the strategy is limited. Risk: Read more..

LONG COMBO Vs SHORT CALL LADDER - Details

	LONG COMBO	SHORT CALL LADDER
Market View	Bullish	Neutral
Type (CE/PE)	CE (Call Option) + PE (Put Option)	CE (Call Option)
Number Of Positions	2	3
Strategy Level	Advance	Advance
Reward Profile	Unlimited	Unlimited
Risk Profile	Unlimited	Limited
Breakeven Point	Call Strike + Net Premium	Upper Breakeven Point = Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received Lower Breakeven Point = Strike Price of Short Call - Net Premium Received

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

	LONG COMBO	SHORT CALL LADDER
Market View	Bullish	Neutral
When to use?	This strategy is used when an investor Bullish on an underlying but don't have the required capital or the risk appetite to invest directly into it.	This strategy is implemented when a trader is moderately bullish on the market, and volatility
Action	Sell OTM Put Option, Buy OTM Call Option	Sell 1 ITM Call, Buy 1 ATM Call, Buy 1 OTM Call
Breakeven Point	Call Strike + Net Premium	Upper Breakeven Point = Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received Lower Breakeven Point = Strike Price of Short Call - Net Premium Received

LONG COMBO Vs SHORT CALL LADDER - Risk & Reward

	LONG COMBO	SHORT CALL LADDER
Maximum Profit Scenario	Underlying asset goes up and Call option exercised	Profit Achieved When Price of Underlying > Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received
Maximum Loss Scenario	Underlying asset goes down and Put option exercised	Strike Price of Lower Strike Long Call - Strike Price of Short Call - Net Premium Received + Commissions Paid
Risk	Unlimited	Limited
Reward	Unlimited	Unlimited

LONG COMBO Vs SHORT CALL LADDER - Strategy Pros & Cons

	LONG COMBO	SHORT CALL LADDER
Similar Strategies	-	Short Put Ladder, Strip, Strap
Disadvantage	• Losses can keep on increasing as the price of stock goes down. • High risk strategy.	• Unlimited risk. • Margin required.
Advantages	• Capital investment is low and returns are high. • Unlimited reward, returns keep on increasing with the increase on stock price. • Leverage facility provided by this strategy is very beneficial.	• Higher probability of profit. • Unlimited upside profit. • Limited maximum loss.