SHORT PUT LADDER	CHRISTMAS TREE SPREAD WITH PUT OPTION
About Strategy	Short Put Ladder Option Strategy  This strategy is implemented when a trader is slightly bearish on the market. A trader is required to be bullish over the volatility in the market. It involves sale of an ITM Put Option and buying of 1 ATM & 1 OTM Put Options. However, the risk associated with this strategy is limited. Read more..	Christmas Tree Spread with Puts Option Strategy This Strategy is an advance option strategy that consists of three legs and six total options. In this strategy buying one put at strike price D, skipping strike price C, writes three calls at strike price B, and buying two calls at strike price A for same expiration dates for neutral to bearish forecast. An investor used this strategy to potential returns .. Read more..

SHORT PUT LADDER Vs CHRISTMAS TREE SPREAD WITH PUT OPTION - Details

	SHORT PUT LADDER	CHRISTMAS TREE SPREAD WITH PUT OPTION
Market View	Neutral	Bearish
Type (CE/PE)	PE (Put Option)	CE (Call Option)
Number Of Positions	3	6
Strategy Level	Advance	Advance
Reward Profile	Unlimited	Limited
Risk Profile	Limited	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Short Put - Net Premium Received Lower Breakeven Point = Total Strike Prices of Long Puts - Strike Price of Short Put + Net Premium Received	Lowest strike prices + the half premium – premium paid

SHORT PUT LADDER Vs CHRISTMAS TREE SPREAD WITH PUT OPTION - When & How to use ?

	SHORT PUT LADDER	CHRISTMAS TREE SPREAD WITH PUT OPTION
Market View	Neutral	Bearish
When to use?	This strategy is implemented when a trader is slightly bearish on the market.	This Strategy is used when an investor wants potential returns.
Action	Sell ITM Put Option, Buying 1 ATM & 1 OTM Put Option.	Buying one ATM, Selling 3 Puts, Buying one more OTM Put
Breakeven Point	Upper Breakeven Point = Strike Price of Short Put - Net Premium Received Lower Breakeven Point = Total Strike Prices of Long Puts - Strike Price of Short Put + Net Premium Received	Lowest strike prices + the half premium – premium paid

SHORT PUT LADDER Vs CHRISTMAS TREE SPREAD WITH PUT OPTION - Risk & Reward

	SHORT PUT LADDER	CHRISTMAS TREE SPREAD WITH PUT OPTION
Maximum Profit Scenario	When Price of Underlying < Total Strike Prices of Long Puts - Strike Price of Short Put + Net Premium Received	Equal middle strike price – higher strike price – the premium
Maximum Loss Scenario	Strike Price of Short Put - Strike Price of Higher Strike Long Put - Net Premium Received + Commissions Paid	Net Debit paid for the strategy.
Risk	Limited	Limited
Reward	Unlimited	Limited

SHORT PUT LADDER Vs CHRISTMAS TREE SPREAD WITH PUT OPTION - Strategy Pros & Cons

	SHORT PUT LADDER	CHRISTMAS TREE SPREAD WITH PUT OPTION
Similar Strategies	Strap, Strip	Butterfly spreads
Disadvantage	• Best to use when you are confident about movement of market. • Small margin required.	• Potential profit is lower or limited.
Advantages	• When there is surge in implied volatility, this strategy can give more profit. • Unlimited downside profit. • Limited risk and unlimited reward strategy.	• The potential of loss is limited.