Comparision (LONG CALL CONDOR SPREAD
VS CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY)
Compare Strategies
LONG CALL CONDOR SPREAD
CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY
About Strategy
Long Call Condor Spread Option Strategy
This strategy is implemented when a trader is bearish on the volatility and expects the market to move sideways. Using Call Options of the same expiry date, he will buy one Deep ITM Call Option, sell 1 ITM Call Option, sell 1 OTM Call Option, buy 1 Deep OTM Call Option. The risk and reward both are limited due to offsetting of long and short positions. For t
This Strategy is an advance option strategy that consists of three legs and six total options. In this strategy buying one call at strike price A, skipping strike price B, writes three calls at strike price C, and buying two calls at strike price D for same expiration dates for neutral to bullish forecast. An investor used this strategy to potential retur ..
LONG CALL CONDOR SPREAD Vs CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY - Strategy Pros & Cons
LONG CALL CONDOR SPREAD
CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY
Similar Strategies
Long Put Butterfly, Short Call Condor, Short Strangle
CHRISTMAS TREE SPREAD WITH PUT OPTION
Disadvantage
• Amount of profit is comparatively low. • As this strategy has 4 legs so the brokerage cost is higher that will affect your profit.
• Potential profit is lower or limited.
Advantages
• Capable to generate profit even if there is low volatility in the market. • This strategy is associated with limited risk and limited profit. • Wider profit zone.