REVERSE IRON BUTTERFLY	SHORT CALL
About Strategy	Reverse Iron Butterfly Option Strategy Reverse Iron Butterfly as the name suggests is the opposite of Iron Butterfly. In Reverse Iron Butterfly, a trader is bullish on volatility and expects the market to make significant move in the near future in either directions. Here a trader will buy 1 ATM Call Option, sell 1 OTM Call Option, buy 1 ATM Put Option, sell 1 OTM Put Option. This strategy also bags lim 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..

REVERSE IRON BUTTERFLY Vs SHORT CALL - Details

	REVERSE IRON BUTTERFLY	SHORT CALL
Market View	Neutral	Bearish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	CE (Call Option)
Number Of Positions	4	1
Strategy Level	Advance	Advance
Reward Profile	Limited	Limited
Risk Profile	Limited	Unlimited
Breakeven Point	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid	Strike Price of Short Call + Premium Received

REVERSE IRON BUTTERFLY Vs SHORT CALL - When & How to use ?

	REVERSE IRON BUTTERFLY	SHORT CALL
Market View	Neutral	Bearish
When to use?	This strategy is used when a trader is bullish on volatility and expects the market to make significant move in the near future in either directions.	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	Sell 1 OTM Put, Buy 1 ATM Put, Buy 1 ATM Call, Sell 1 OTM Call	Sell or Write Call Option
Breakeven Point	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid	Strike Price of Short Call + Premium Received

REVERSE IRON BUTTERFLY Vs SHORT CALL - Risk & Reward

	REVERSE IRON BUTTERFLY	SHORT CALL
Maximum Profit Scenario	Strike Price of Short Call (or Long Put) - Strike Price of Long Call (or Short Put) - Net Premium Paid - Commissions Paid	Max Profit = Premium Received
Maximum Loss Scenario	Net Premium Paid + Commissions Paid	Loss Occurs When Price of Underlying > Strike Price of Short Call + Premium Received
Risk	Limited	Unlimited
Reward	Limited	Limited

REVERSE IRON BUTTERFLY Vs SHORT CALL - Strategy Pros & Cons

	REVERSE IRON BUTTERFLY	SHORT CALL
Similar Strategies	Short Put Butterfly, Short Condor	Covered Put, Covered Calls
Disadvantage	• Potential loss is higher than gain, complex strategy. • Not suitable for beginners.	• Unlimited risk to the upside underlying stocks. • Potential loss more than the premium collected.
Advantages	• Able to profit whether stocks move in either direction up or down. • This strategy can be used by option traders who cannot use credit spreads. • Predictable maximum loss and profits, volatile strategy.	• 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.