SHORT CALL BUTTERFLY	MARRIED PUT
About Strategy	Short Call Butterfly Option Strategy This strategy is opposite of the Long Call Butterfly Strategy, a trader expects the market to remain range bound in Long Call Butterfly, but here he expects the market to move beyond strike boundaries in Short Call Butterfly. If the trader is bullish on the market’s volatility, he will implement this strategy. Here also there should be equal distance between the Read more..	Married Put Option Strategy This strategy is applied when trader goes long on the underlying asset i.e. he buys the stock in cash market. He has a bullish view and expects the market to rise in the near future, but simultaneously has the fear of downward movement of the markets. In order to cover his position from vulnerabilities he buys one ATM Put Option of the same underlying asset. Here, a trader wi .. Read more..

SHORT CALL BUTTERFLY Vs MARRIED PUT - Details

	SHORT CALL BUTTERFLY	MARRIED PUT
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option)	PE (Put Option)
Number Of Positions	4	1
Strategy Level	Advance	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Lower Break-even = Lower Strike Price + Net Premium, Upper Break-even = Higher Strike Price - Net Premium	Purchase Price of Underlying + Premium Paid

SHORT CALL BUTTERFLY Vs MARRIED PUT - When & How to use ?

	SHORT CALL BUTTERFLY	MARRIED PUT
Market View	Neutral	Bullish
When to use?	This strategy is meant for special scenarios where you foresee a lot of volatility in the market due to election results, budget, policy change, annual result announcements etc.	This Strategy work when the investor goes long in any stock. He expects the rise in market in future.
Action	Buy 2 ATM Call, Sell 1 ITM Call, Sell 1 OTM Call	Buy 250 XYZ Shares, Buy 1 ATM Put Option
Breakeven Point	Lower Break-even = Lower Strike Price + Net Premium, Upper Break-even = Higher Strike Price - Net Premium	Purchase Price of Underlying + Premium Paid

SHORT CALL BUTTERFLY Vs MARRIED PUT - Risk & Reward

	SHORT CALL BUTTERFLY	MARRIED PUT
Maximum Profit Scenario	The profit is limited to the net premium received.	Profit = Price of Underlying - Purchase Price of Underlying - Premium Paid
Maximum Loss Scenario	Higher strike price- Lower Strike Price - Net Premium	Max Loss = Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Unlimited

SHORT CALL BUTTERFLY Vs MARRIED PUT - Strategy Pros & Cons

	SHORT CALL BUTTERFLY	MARRIED PUT
Similar Strategies	Long Straddle, Long Call Butterfly	Long Call
Disadvantage	• Limited rewards, usually offer smaller return. • Profitability depends on the significant movement of stocks and options prices.	Cost of the put options eats into profit margin.
Advantages	• Even if the market is highly volatile, the risk exposure remains limited. • Without any extra investment, you can receive your premium. • Able to book profits even when the price movement cannot be predicted.	Unlimited Profit and Limited Risk