RATIO PUT WRITE	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY
About Strategy	Ratio Put Write Option Strategy  This strategy is implemented by selling (short) the underlying asset in the cash/futures market. Simultaneously, sell ATM Puts double the number of long quantity. This strategy is used by a trader who in 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..	Christmas Tree Spread with Call Option Strategy This Strategy is an advance option strategy that consists of three legs and six total options. In this strategy buying one call at strike price A, skipping strike price B, writes three calls at strike price C, and buying two calls at strike price D for same expiration dates for neutral to bullish forecast. An investor used this strategy to potential retur .. Read more..

RATIO PUT WRITE Vs CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY - Details

	RATIO PUT WRITE	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY
Market View	Neutral	Bullish
Type (CE/PE)	PE (Put Option)	CE (Call Option)
Number Of Positions	2	4
Strategy Level	Beginners	Advance
Reward Profile	Max Profit Achieved When Price of Underlying = Strike Price of Short Puts	Limited
Risk Profile	Loss Occurs When Price of Underlying < Strike Price of Short Put - Net Premium Received OR Price of Underlying > Strike Price of Short Put + Net Premium Received	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Short Puts + Points of Maximum Profit Lower Breakeven Point = Strike Price of Short Puts - Points of Maximum Profit	Lowest strike prices + premium paid – the half premium.

RATIO PUT WRITE Vs CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY - When & How to use ?

	RATIO PUT WRITE	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY
Market View	Neutral	Bullish
When to use?	This strategy is implemented by selling (short) the underlying asset in the cash/futures market. This strategy is used by a trader who in neutral on the market and bearish on the volatility in the near future	This Strategy is used when an investor wants potential returns.
Action	Sell 2 ATM Puts	• Buy 1 call , • Sell 3 calls, • Buy 2 calls
Breakeven Point	Upper Breakeven Point = Strike Price of Short Puts + Points of Maximum Profit Lower Breakeven Point = Strike Price of Short Puts - Points of Maximum Profit	Lowest strike prices + premium paid – the half premium.

RATIO PUT WRITE Vs CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY - Risk & Reward

	RATIO PUT WRITE	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY
Maximum Profit Scenario	Net Premium Received - Commissions Paid	Equal middle strike price – lower strike price – the premium
Maximum Loss Scenario	Price of Underlying - Sale Price of Underlying - Net Premium Received OR Strike Price of Short Put - Price of Underlying - Net Premium Received + Commissions Paid	Net Debit paid for the strategy.
Risk	Unlimited	Limited
Reward	Limited	Limited

RATIO PUT WRITE Vs CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY - Strategy Pros & Cons

	RATIO PUT WRITE	CHRISTMAS TREE SPREAD WITH CALL OPTION STRATEGY
Similar Strategies	Short Strangle and Short Straddle	CHRISTMAS TREE SPREAD WITH PUT OPTION
Disadvantage	• Potential loss is higher than gain. • Limited profit.	• Potential profit is lower or limited.
Advantages		• The potential of loss is limited.