LONG CALL LADDER	SHORT CALL
About Strategy	Long Call Ladder Option Strategy  Long Call Ladder Strategy is an extension to Bull Call Spread Strategy. A trader will be slightly bullish about the market, in this strategy but bearish over volatility. It involves buying of an ITM Call Option and sale of 1 ATM & 1 OTM Call Options. However, the risk associated with this strategy is unlimited and reward is limited. Read more..	Short Call Option Strategy A trader shorts or writes a Call Option when he feels that underlying stock price is likely to go down. Selling Call Option is a strategy preferred for experienced traders. However this strategy is very risky in nature. If the stock rallies on the upside, your risk becomes potentially unquantifiable and unlimited. If the strategy .. Read more..

LONG CALL LADDER Vs SHORT CALL - Details

	LONG CALL LADDER	SHORT CALL
Market View	Neutral	Bearish
Type (CE/PE)	CE (Call Option)	CE (Call Option)
Number Of Positions	3	1
Strategy Level	Advance	Advance
Reward Profile	Unlimited	Limited
Risk Profile	Unlimited	Unlimited
Breakeven Point	Upper Breakeven Point = Total Strike Prices of Short Calls - Strike Price of Long Call - Net Premium Paid, Lower Breakeven Point = Strike Price of Long Call + Net Premium Paid	Strike Price of Short Call + Premium Received

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

	LONG CALL LADDER	SHORT CALL
Market View	Neutral	Bearish
When to use?	This Strategy is an extension to Bull Call Spread Strategy. A trader will be slightly bullish about the market, in this strategy but bearish over volatility.	It is an aggressive strategy and involves huge risks. It should be used only in case where trader is certain about the bearish market view on the underlying.
Action	Buy 1 ITM Call, Sell 1 ATM Call, Sell 1 OTM Call	Sell or Write Call Option
Breakeven Point	Upper Breakeven Point = Total Strike Prices of Short Calls - Strike Price of Long Call - Net Premium Paid, Lower Breakeven Point = Strike Price of Long Call + Net Premium Paid	Strike Price of Short Call + Premium Received

LONG CALL LADDER Vs SHORT CALL - Risk & Reward

	LONG CALL LADDER	SHORT CALL
Maximum Profit Scenario	Strike Price of Lower Strike Short Call - Strike Price of Long Call - Net Premium Paid - Commissions Paid	Max Profit = Premium Received
Maximum Loss Scenario	Price of Underlying - Upper Breakeven Price + Commissions Paid	Loss Occurs When Price of Underlying > Strike Price of Short Call + Premium Received
Risk	Unlimited	Unlimited
Reward	Unlimited	Limited

LONG CALL LADDER Vs SHORT CALL - Strategy Pros & Cons

	LONG CALL LADDER	SHORT CALL
Similar Strategies	Short Strangle (Sell Strangle), Short Straddle (Sell Straddle)	Covered Put, Covered Calls
Disadvantage	• Unlimited risk. • Margin required.	• Unlimited risk to the upside underlying stocks. • Potential loss more than the premium collected.
Advantages	• Reduces capital outlay of bull call spread. • Wider maximum profit zone. • When there is decrease in implied volatility, this strategy can give profit.	• With the help of this strategy, traders can book profit from falling prices in the underlying asset. • Less investment, more profit. • Traders can book profit when underlying stock price fall, move sideways or rise by a small amount.