RATIO CALL WRITE	LONG PUT LADDER
About Strategy	Ratio Call Write Option Strategy  This strategy involves buying of an underlying asset in the cash/futures market and simultaneously selling ATM Calls double the number of long quantity. This strategy is used by a trader who is neutral on the market and bearish on the volatility in the near future. Here profits will be capped up to the premium amount and risk will be potentially unlimited. Read more..	Long Put Ladder Option Strategy  Long Put Ladder can be implemented when a trader is slightly bearish on the market and volatility. It involves buying of an ITM Put Option and sale of 1 ATM & 1 OTM Put Options. However, the risk associated with this strategy is unlimited and reward is limited. Risk:< .. Read more..

RATIO CALL WRITE Vs LONG PUT LADDER - Details

	RATIO CALL WRITE	LONG PUT LADDER
Market View	Neutral	Neutral
Type (CE/PE)	CE (Call Option)	PE (Put Option)
Number Of Positions	2	3
Strategy Level	Beginners	Advance
Reward Profile	Limited	Limited
Risk Profile	Unlimited	Unlimited
Breakeven Point	Upper Breakeven Point = Strike Price of Short Calls + Points of Maximum Profit, Lower Breakeven Point = Strike Price of Short Calls - Points of Maximum Profit	Upper Breakeven Point = Strike Price of Long Put - Net Premium Paid, Lower Breakeven Point = Total Strike Prices of Short Puts - Strike Price of Long Put + Net Premium Paid

RATIO CALL WRITE Vs LONG PUT LADDER - When & How to use ?

	RATIO CALL WRITE	LONG PUT LADDER
Market View	Neutral	Neutral
When to use?	This strategy is used by a trader who is neutral on the market and bearish on the volatility in the near future.	This Strategy can be implemented when a trader is slightly bearish on the market and volatility.
Action	Sell 2 ATM Calls	Buy 1 ITM Put, Sell 1 ATM Put, Sell 1 OTM Put
Breakeven Point	Upper Breakeven Point = Strike Price of Short Calls + Points of Maximum Profit, Lower Breakeven Point = Strike Price of Short Calls - Points of Maximum Profit	Upper Breakeven Point = Strike Price of Long Put - Net Premium Paid, Lower Breakeven Point = Total Strike Prices of Short Puts - Strike Price of Long Put + Net Premium Paid

RATIO CALL WRITE Vs LONG PUT LADDER - Risk & Reward

	RATIO CALL WRITE	LONG PUT LADDER
Maximum Profit Scenario	Net Premium Received - Commissions Paid	Strike Price of Long Put - Strike Price of Higher Strike Short Put - Net Premium Paid - Commissions Paid
Maximum Loss Scenario	Price of Underlying - Strike Price of Short Call - Net Premium Received OR Purchase Price of Underlying - Price of Underlying - Net Premium Received + Commissions Paid	When Price of Underlying < Total Strike Prices of Short Puts - Strike Price of Long Put + Net Premium Paid
Risk	Unlimited	Unlimited
Reward	Limited	Limited

RATIO CALL WRITE Vs LONG PUT LADDER - Strategy Pros & Cons

	RATIO CALL WRITE	LONG PUT LADDER
Similar Strategies	Variable Ratio Write	Short Strangle (Sell Strangle), Short Straddle (Sell Straddle)
Disadvantage	• Potential loss is higher than gain. • Limited profit.	• Unlimited risk. • Margin required.
Advantages		• Reduces capital outlay of bear put spread. • Wider maximum profit zone. • When there is decrease in implied volatility, this strategy can give profit.