SHORT CALL LADDER	LONG COMBO
About Strategy	Short Call Ladder Option Strategy  This strategy is implemented when a trader is moderately bullish on the market, and volatility. It involves sale of an ITM Call Option, buying of an ATM Call Option & OTM Call Option. The risk associated with the strategy is limited. Risk: Read more..	Long Combo Option Strategy  Long Combo Option Trading Strategy is implemented when a trader is bullish in nature and expects the stock price to rise in the near future. Here a trader will sell one ‘Out of the Money’ Put Option and buy one ‘Out of the Money’ Call Option. This trade will require less capital to implement since the amount required to buy the call will be covered by the amount received .. Read more..

SHORT CALL LADDER Vs LONG COMBO - Details

	SHORT CALL LADDER	LONG COMBO
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option)	CE (Call Option) + PE (Put Option)
Number Of Positions	3	2
Strategy Level	Advance	Advance
Reward Profile	Unlimited	Unlimited
Risk Profile	Limited	Unlimited
Breakeven Point	Upper Breakeven Point = Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received Lower Breakeven Point = Strike Price of Short Call - Net Premium Received	Call Strike + Net Premium

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

	SHORT CALL LADDER	LONG COMBO
Market View	Neutral	Bullish
When to use?	This strategy is implemented when a trader is moderately bullish on the market, and volatility	This strategy is used when an investor Bullish on an underlying but don't have the required capital or the risk appetite to invest directly into it.
Action	Sell 1 ITM Call, Buy 1 ATM Call, Buy 1 OTM Call	Sell OTM Put Option, Buy OTM Call Option
Breakeven Point	Upper Breakeven Point = Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received Lower Breakeven Point = Strike Price of Short Call - Net Premium Received	Call Strike + Net Premium

SHORT CALL LADDER Vs LONG COMBO - Risk & Reward

	SHORT CALL LADDER	LONG COMBO
Maximum Profit Scenario	Profit Achieved When Price of Underlying > Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received	Underlying asset goes up and Call option exercised
Maximum Loss Scenario	Strike Price of Lower Strike Long Call - Strike Price of Short Call - Net Premium Received + Commissions Paid	Underlying asset goes down and Put option exercised
Risk	Limited	Unlimited
Reward	Unlimited	Unlimited

SHORT CALL LADDER Vs LONG COMBO - Strategy Pros & Cons

	SHORT CALL LADDER	LONG COMBO
Similar Strategies	Short Put Ladder, Strip, Strap	-
Disadvantage	• Unlimited risk. • Margin required.	• Losses can keep on increasing as the price of stock goes down. • High risk strategy.
Advantages	• Higher probability of profit. • Unlimited upside profit. • Limited maximum loss.	• Capital investment is low and returns are high. • Unlimited reward, returns keep on increasing with the increase on stock price. • Leverage facility provided by this strategy is very beneficial.