RISK REVERSAL	SHORT CALL LADDER
About Strategy	Risk Reversal Option Strategy This strategy protects an investor from unfavourable price movements in the position but limits the profits can be made on that position. A risk reversal is a hedging strategy that protects a long or short position by using put and call options. In this one option is buying and other is written. In this strategy the trader has to pay a premium, while the written option prod Read more..	Short Call Ladder Option Strategy  This strategy is implemented when a trader is moderately bullish on the market, and volatility. It involves sale of an ITM Call Option, buying of an ATM Call Option & OTM Call Option. The risk associated with the strategy is limited. Risk: Read more..

RISK REVERSAL Vs SHORT CALL LADDER - Details

	RISK REVERSAL	SHORT CALL LADDER
Market View	Bullish	Neutral
Type (CE/PE)	CE (Call Option) + PE (Put Option)	CE (Call Option)
Number Of Positions	2	3
Strategy Level	Advance	Advance
Reward Profile	Unlimited	Unlimited
Risk Profile	Unlimited	Limited
Breakeven Point	Premium received - Put Strike Price	Upper Breakeven Point = Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received Lower Breakeven Point = Strike Price of Short Call - Net Premium Received

RISK REVERSAL Vs SHORT CALL LADDER - When & How to use ?

	RISK REVERSAL	SHORT CALL LADDER
Market View	Bullish	Neutral
When to use?	This strategy can be used for hedging. When an investor want to protect long or short position by using a call and put option.	This strategy is implemented when a trader is moderately bullish on the market, and volatility
Action	This strategy work when an investor want to hedge their position by buying a put option and selling a call option.	Sell 1 ITM Call, Buy 1 ATM Call, Buy 1 OTM Call
Breakeven Point	Premium received - Put Strike Price	Upper Breakeven Point = Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received Lower Breakeven Point = Strike Price of Short Call - Net Premium Received

RISK REVERSAL Vs SHORT CALL LADDER - Risk & Reward

	RISK REVERSAL	SHORT CALL LADDER
Maximum Profit Scenario	You have unlimited profit potential to the upside.	Profit Achieved When Price of Underlying > Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received
Maximum Loss Scenario	You have nearly unlimited downside risk as well because you are short the put	Strike Price of Lower Strike Long Call - Strike Price of Short Call - Net Premium Received + Commissions Paid
Risk	Unlimited	Limited
Reward	Unlimited	Unlimited

RISK REVERSAL Vs SHORT CALL LADDER - Strategy Pros & Cons

	RISK REVERSAL	SHORT CALL LADDER
Similar Strategies	-	Short Put Ladder, Strip, Strap
Disadvantage	Unlimited Risk.	• Unlimited risk. • Margin required.
Advantages	Unlimited profit.	• Higher probability of profit. • Unlimited upside profit. • Limited maximum loss.