LONG PUT	MARRIED PUT
About Strategy	Long Put Option Strategy This strategy is implemented by buying 1 Put Option i.e. a single position, when the person is bearish on the market and expects the market to move downwards in the near future. Risk: The maximum loss will be the premium amount paid.< 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..

LONG PUT Vs MARRIED PUT - Details

	LONG PUT	MARRIED PUT
Market View	Bearish	Bullish
Type (CE/PE)	PE (Put Option)	PE (Put Option)
Number Of Positions	1	1
Strategy Level	Beginners	Beginners
Reward Profile	Unlimited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Strike Price of Long Put - Premium Paid	Purchase Price of Underlying + Premium Paid

LONG PUT Vs MARRIED PUT - When & How to use ?

	LONG PUT	MARRIED PUT
Market View	Bearish	Bullish
When to use?	A long put option strategy works well when you're expecting the underlying asset to sharply decline or be volatile in near future.	This Strategy work when the investor goes long in any stock. He expects the rise in market in future.
Action	Buy Put Option	Buy 250 XYZ Shares, Buy 1 ATM Put Option
Breakeven Point	Strike Price of Long Put - Premium Paid	Purchase Price of Underlying + Premium Paid

LONG PUT Vs MARRIED PUT - Risk & Reward

	LONG PUT	MARRIED PUT
Maximum Profit Scenario	Profit = Strike Price of Long Put - Premium Paid	Profit = Price of Underlying - Purchase Price of Underlying - Premium Paid
Maximum Loss Scenario	Max Loss = Premium Paid + Commissions Paid	Max Loss = Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Unlimited	Unlimited

LONG PUT Vs MARRIED PUT - Strategy Pros & Cons

	LONG PUT	MARRIED PUT
Similar Strategies	Protective Call, Short Put	Long Call
Disadvantage	• 100% loss if strike price, expiration dates or underlying stocks are badly chosen. • Time decay.	Cost of the put options eats into profit margin.
Advantages	• Limited risk to the premium paid. • Less capital investment and more profit. • Unlimited profit potential with limited risk.	Unlimited Profit and Limited Risk