RATIO CALL WRITE	NEUTRAL CALENDAR SPREAD
About Strategy	Ratio Call Write Option Strategy  This strategy involves buying of an underlying asset in the cash/futures market and simultaneously selling ATM Calls double the number of long quantity. This strategy is used by a trader who is neutral on the market and bearish on the volatility in the near future. Here profits will be capped up to the premium amount and risk will be potentially unlimited. Read more..	Neutral Calendar Spread Option strategy  This strategy is implemented if the trader is neutral in the near future for say 2 months or so. This strategy involves writing of Near Month 1 ATM Call Option and buying 1 Mid Month ATM Call Option, hence reducing the cost of purchase, with the same strike price of the same underlying asset. This strategy is used when the trader wants to make money from the .. Read more..

RATIO CALL WRITE Vs NEUTRAL CALENDAR SPREAD - Details

	RATIO CALL WRITE	NEUTRAL CALENDAR SPREAD
Market View	Neutral	Neutral
Type (CE/PE)	CE (Call Option)	CE (Call Option)
Number Of Positions	2	2
Strategy Level	Beginners	Beginners
Reward Profile	Limited	Limited
Risk Profile	Unlimited	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Short Calls + Points of Maximum Profit, Lower Breakeven Point = Strike Price of Short Calls - Points of Maximum Profit	-

RATIO CALL WRITE Vs NEUTRAL CALENDAR SPREAD - When & How to use ?

	RATIO CALL WRITE	NEUTRAL CALENDAR SPREAD
Market View	Neutral	Neutral
When to use?	This strategy is used by a trader who is neutral on the market and bearish on the volatility in the near future.	This strategy is implemented if the trader is neutral in the near future for say 2 months or so. This strategy involves writing of Near Month 1 ATM Call Option and buying 1 Mid Month ATM Call Option.
Action	Sell 2 ATM Calls	Sell 1 Near-Term ATM Call, Buy 1 Long-Term ATM Call
Breakeven Point	Upper Breakeven Point = Strike Price of Short Calls + Points of Maximum Profit, Lower Breakeven Point = Strike Price of Short Calls - Points of Maximum Profit	-

RATIO CALL WRITE Vs NEUTRAL CALENDAR SPREAD - Risk & Reward

	RATIO CALL WRITE	NEUTRAL CALENDAR SPREAD
Maximum Profit Scenario	Net Premium Received - Commissions Paid	Maximum Profit Limited When underlying stock price remains unchanged on expiration of the near month options.
Maximum Loss Scenario	Price of Underlying - Strike Price of Short Call - Net Premium Received OR Purchase Price of Underlying - Price of Underlying - Net Premium Received + Commissions Paid	It occurs when the stock price goes down and stays down until expiration of the longer term options.
Risk	Unlimited	Limited
Reward	Limited	Limited

RATIO CALL WRITE Vs NEUTRAL CALENDAR SPREAD - Strategy Pros & Cons

	RATIO CALL WRITE	NEUTRAL CALENDAR SPREAD
Similar Strategies	Variable Ratio Write	Long Put Butterfly, Iron Butterfly
Disadvantage	• Potential loss is higher than gain. • Limited profit.	• Lower profitability • Must have enough experience.
Advantages		• Almost zero margin required. • Ability to profit from time decay, limited risk. • This strategy allows you to transform position into long position.