SHORT STRADDLE	MARRIED PUT
About Strategy	Short Straddle Option strategy This strategy is just the opposite of Long Straddle. A trader should adopt this strategy when he expects less volatility in the near future. Here, a trader will sell one Call Option & one Put Option of the same strike price, same expiry date and of the same underlying asset. If the stock/index hovers around the same levels then both the options will expire worthless an 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 STRADDLE Vs MARRIED PUT - Details

	SHORT STRADDLE	MARRIED PUT
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	PE (Put Option)
Number Of Positions	2	1
Strategy Level	Advance	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Unlimited	Limited
Breakeven Point	Lower Breakeven = Strike Price of Put - Net Premium, Upper breakeven = Strike Price of Call+ Net Premium	Purchase Price of Underlying + Premium Paid

SHORT STRADDLE Vs MARRIED PUT - When & How to use ?

	SHORT STRADDLE	MARRIED PUT
Market View	Neutral	Bullish
When to use?	This strategy is work well when an investor expect a flat market in the coming days with very less movement in the prices of underlying asset.	This Strategy work when the investor goes long in any stock. He expects the rise in market in future.
Action	Sell Call Option, Sell Put Option	Buy 250 XYZ Shares, Buy 1 ATM Put Option
Breakeven Point	Lower Breakeven = Strike Price of Put - Net Premium, Upper breakeven = Strike Price of Call+ Net Premium	Purchase Price of Underlying + Premium Paid

SHORT STRADDLE Vs MARRIED PUT - Risk & Reward

	SHORT STRADDLE	MARRIED PUT
Maximum Profit Scenario	Max Profit = Net Premium Received - Commissions Paid	Profit = Price of Underlying - Purchase Price of Underlying - Premium Paid
Maximum Loss Scenario	Maximum Loss = Long Call Strike Price - Short Call Strike Price - Net Premium Received	Max Loss = Premium Paid + Commissions Paid
Risk	Unlimited	Limited
Reward	Limited	Unlimited

SHORT STRADDLE Vs MARRIED PUT - Strategy Pros & Cons

	SHORT STRADDLE	MARRIED PUT
Similar Strategies	Short Strangle	Long Call
Disadvantage	• Unlimited risk. • If the price of the underlying asset moves in either direction then huge losses can occur.	Cost of the put options eats into profit margin.
Advantages	• A trader can earn profit even when there is no volatility in the market . • Allows you to benefit from double time decay. • Trader can collect premium from puts and calls option .	Unlimited Profit and Limited Risk