PUT BACKSPREAD	MARRIED PUT
About Strategy	Put Backspread Option Strategy If the trader is bearish on market and bullish in volatility, he will implement this strategy. However the trader can be neutral in nature i.e. indifferent if the market moves in either of the direction, this strategy will make profits, but uptrend will give a capped income than downtrend which will give unlimited returns. Read more..	Married Put Option Strategy This strategy is applied when trader goes long on the underlying asset i.e. he buys the stock in cash market. He has a bullish view and expects the market to rise in the near future, but simultaneously has the fear of downward movement of the markets. In order to cover his position from vulnerabilities he buys one ATM Put Option of the same underlying asset. Here, a trader wi .. Read more..

PUT BACKSPREAD Vs MARRIED PUT - Details

	PUT BACKSPREAD	MARRIED PUT
Market View	Bearish	Bullish
Type (CE/PE)	PE (Put Option)	PE (Put Option)
Number Of Positions	2	1
Strategy Level	Advance	Beginners
Reward Profile		Unlimited
Risk Profile		Limited
Breakeven Point		Purchase Price of Underlying + Premium Paid

PUT BACKSPREAD Vs MARRIED PUT - When & How to use ?

	PUT BACKSPREAD	MARRIED PUT
Market View	Bearish	Bullish
When to use?		This Strategy work when the investor goes long in any stock. He expects the rise in market in future.
Action		Buy 250 XYZ Shares, Buy 1 ATM Put Option
Breakeven Point		Purchase Price of Underlying + Premium Paid

PUT BACKSPREAD Vs MARRIED PUT - Risk & Reward

	PUT BACKSPREAD	MARRIED PUT
Maximum Profit Scenario		Profit = Price of Underlying - Purchase Price of Underlying - Premium Paid
Maximum Loss Scenario		Max Loss = Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Unlimited	Unlimited

PUT BACKSPREAD Vs MARRIED PUT - Strategy Pros & Cons

	PUT BACKSPREAD	MARRIED PUT
Similar Strategies		Long Call
Disadvantage		Cost of the put options eats into profit margin.
Advantages		Unlimited Profit and Limited Risk