LONG CALL BUTTERFLY	BULL CALL SPREAD
About Strategy	Long Call Butterfly Option Strategy A trader, who is neutral in nature and believes that there will be very low volatility i.e. expects the market to remain range bound, will implement this strategy. This strategy involves selling of 2 ATM Call Options, buying 1 ITM Call Option & buying 1 OTM Call Option of the same expiry date & same underlying asset. The difference between the strikes sho Read more..	Bull Call Spread Option Strategy Bull Call Spread option trading strategy is used by a trader who is bullish in nature and expects the underlying asset to give decent returns in the near future. This strategy includes buying of an ‘In The Money’ Call Option and selling of ‘Deep Out Of the Money’ Call Option of the same underlying asset and the same expiration date. .. Read more..

LONG CALL BUTTERFLY Vs BULL CALL SPREAD - Details

	LONG CALL BUTTERFLY	BULL CALL SPREAD
Market View	Neutral	Bullish
Type (CE/PE)	CE (Call Option)	CE (Call Option)
Number Of Positions	4	2
Strategy Level	Advance	Beginners
Reward Profile	Limited	Limited
Risk Profile	Limited	Limited
Breakeven Point	Upper Breakeven = Higher Strike Price - Net Premium, Lower Breakeven = Lower Strike Price + Net Premium	Strike price of purchased call + net premium paid

LONG CALL BUTTERFLY Vs BULL CALL SPREAD - When & How to use ?

	LONG CALL BUTTERFLY	BULL CALL SPREAD
Market View	Neutral	Bullish
When to use?	This strategy should be used when you're expecting no volatility in the price of the underlying.	This strategy is used when an investor is Bullish in the market but expect the underlying to gain mildly in near future.
Action	Sell 2 ATM Call, Buy 1 ITM Call, Buy 1 OTM Call	Buy ITM Call Option, Sell OTM Call Option
Breakeven Point	Upper Breakeven = Higher Strike Price - Net Premium, Lower Breakeven = Lower Strike Price + Net Premium	Strike price of purchased call + net premium paid

LONG CALL BUTTERFLY Vs BULL CALL SPREAD - Risk & Reward

	LONG CALL BUTTERFLY	BULL CALL SPREAD
Maximum Profit Scenario	Adjacent strikes - Net premium debit.	(Strike Price of Call 1 - Strike Price of Call 2) - Net Premium Paid
Maximum Loss Scenario	Net Premium Paid	Net Premium Paid
Risk	Limited	Limited
Reward	Limited	Limited

LONG CALL BUTTERFLY Vs BULL CALL SPREAD - Strategy Pros & Cons

	LONG CALL BUTTERFLY	BULL CALL SPREAD
Similar Strategies	-	Collar
Disadvantage	• Due to limited lifespan of call options, you can lose the premium paid. • Limited profit which is bound in a narrow range between the two wing strikes.	• Limited profit potential to the higher strike call sold if the underlying stock price rises. • Maximum profit only if stock rises to the higher of 2 strike prices selected.
Advantages	• Under this strategy, a trader can book profit even when there is not volatility in the market. • Limited risks to the net premium paid. • This strategy allows you to gain more profits by investing less and limiting your losses to minimum.	• Allows you to reduce risk and cost of your investment. • When placing the spread, exit strategy is pre-determined in advance. • Risk is limited to the net premium paid.