BULL CALENDER SPREAD	STRIP
About Strategy	Bull Calendar Spread Option Strategy This strategy is implemented when a trader is bullish on the underlying stock/index in the short term say 2 months or so. A trader will write one Near Month OTM Call Option and buy one next Month OTM Call Option, thereby reducing the cost of purchase, with the same strike price of the same underlying asset. This strategy is used when a trader wants to make prof Read more..	Strip Option Strategy Strip Strategy is the opposite of Strap Strategy. When a trader is bearish on the market and bullish on volatility then he will implement this strategy by buying two ATM Put Options & one ATM Call Option, of the same strike price, expiry date & underlying asset. If the prices move downwards then this strategy will make more profits compared to short straddle because of the .. Read more..

BULL CALENDER SPREAD Vs STRIP - Details

	BULL CALENDER SPREAD	STRIP
Market View	Bullish	Neutral
Type (CE/PE)	CE (Call Option) + PE (Put Option)	CE (Call Option) + PE (Put Option)
Number Of Positions	2	3
Strategy Level	Beginners	Beginners
Reward Profile	Unlimited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Stock Price when long call value is equal to net debit.	Upper Breakeven Point = Strike Price of Calls/Puts + Net Premium Paid, Lower Breakeven Point = Strike Price of Calls/Puts - (Net Premium Paid/2)

BULL CALENDER SPREAD Vs STRIP - When & How to use ?

	BULL CALENDER SPREAD	STRIP
Market View	Bullish	Neutral
When to use?	This strategy is used when a trader wants to make profit from a steady increase in the stock price over a short period of time.	When a trader is bearish on the market and bullish on volatility then he will implement this strategy.
Action	Sell 1 Near-Term OTM Call, Buy 1 Long-Term OTM Call	Buy 1 ATM Call, Buy 2 ATM Puts
Breakeven Point	Stock Price when long call value is equal to net debit.	Upper Breakeven Point = Strike Price of Calls/Puts + Net Premium Paid, Lower Breakeven Point = Strike Price of Calls/Puts - (Net Premium Paid/2)

BULL CALENDER SPREAD Vs STRIP - Risk & Reward

	BULL CALENDER SPREAD	STRIP
Maximum Profit Scenario	You have unlimited profit potential to the upside.	Price of Underlying - Strike Price of Calls - Net Premium Paid OR 2 x (Strike Price of Puts - Price of Underlying) - Net Premium Paid
Maximum Loss Scenario	Max Loss = Premium Paid + Commissions Paid	Net Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Unlimited	Unlimited

BULL CALENDER SPREAD Vs STRIP - Strategy Pros & Cons

	BULL CALENDER SPREAD	STRIP
Similar Strategies	The Collar, Bull Put Spread	Strap, Short Put Ladder
Disadvantage	• Limited profit even if underlying asset rallies. • If the short call options are assigned when the underlying asset rallies then losses can be sustained.	Expensive., The share price must change significantly to generate profit., High Bid/Offer spread can have a negative influence on the position.
Advantages	• Limited losses to the net debit. • Enable trader to book profit even if underlying asset stays stagnant. • If the market trends reverse, cashing in from stock price movement at limited risk.	Profit is generated when the share price changes in any direction., Limited loss., The profit is potentially unlimited when share prices are moving.