CALL BACKSPREAD	CALL BACKSPREAD
About Strategy	Call Backspread Option Trading  This strategy is adopted by traders who are bullish in nature. He expects market and volatility to rise in the near future. A trader need not be direction specific here (i.e. an upward or downward trend, but a small bias towards an uptrend should always be present, as the gains will be much higher once the market moves up r Read more..	Call Backspread Option Trading  This strategy is adopted by traders who are bullish in nature. He expects market and volatility to rise in the near future. A trader need not be direction specific here (i.e. an upward or downward trend, but a small bias towards an uptrend should always be present, as the gains will be much higher once the market moves up r .. Read more..

CALL BACKSPREAD Vs CALL BACKSPREAD - Details

	CALL BACKSPREAD	CALL BACKSPREAD
Market View	Bullish	Bullish
Type (CE/PE)	CE (Call Option)	CE (Call Option)
Number Of Positions	3	3
Strategy Level	Advance	Advance
Reward Profile	Unlimited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Lower breakeven = strike price of the short call, Upper breakeven = strike price of long calls + point of maximum loss	Lower breakeven = strike price of the short call, Upper breakeven = strike price of long calls + point of maximum loss

CALL BACKSPREAD Vs CALL BACKSPREAD - When & How to use ?

	CALL BACKSPREAD	CALL BACKSPREAD
Market View	Bullish	Bullish
When to use?	This strategy is used when the investor expects the price of the stock to rise in the future.	This strategy is used when the investor expects the price of the stock to rise in the future.
Action	Sell 1 ITM Call, BUY 2 OTM Call	Sell 1 ITM Call, BUY 2 OTM Call
Breakeven Point	Lower breakeven = strike price of the short call, Upper breakeven = strike price of long calls + point of maximum loss	Lower breakeven = strike price of the short call, Upper breakeven = strike price of long calls + point of maximum loss

CALL BACKSPREAD Vs CALL BACKSPREAD - Risk & Reward

	CALL BACKSPREAD	CALL BACKSPREAD
Maximum Profit Scenario	Unlimited profit potential if the stock goes in upward direction.	Unlimited profit potential if the stock goes in upward direction.
Maximum Loss Scenario	Strike Price of long call - Strike Price of short call - Net premium received	Strike Price of long call - Strike Price of short call - Net premium received
Risk	Limited	Limited
Reward	Unlimited	Unlimited

CALL BACKSPREAD Vs CALL BACKSPREAD - Strategy Pros & Cons

	CALL BACKSPREAD	CALL BACKSPREAD
Similar Strategies	-	-
Disadvantage
Advantages	• Unlimited profit potential.	• Unlimited profit potential.