SHORT CALL LADDER	RATIO CALL SPREAD
About Strategy	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..	Ratio Call Spread Option Strategy  As the name suggests, a ratio of 2:1 is followed i.e. buy 1 ITM Call and simultaneously sell OTM Calls double the number of ITM Calls (In this case 2). This strategy is used by 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 since he is .. Read more..

SHORT CALL LADDER Vs RATIO CALL SPREAD - Details

	SHORT CALL LADDER	RATIO CALL SPREAD
Market View	Neutral	Neutral
Type (CE/PE)	CE (Call Option)	CE (Call Option)
Number Of Positions	3	3
Strategy Level	Advance	Beginners
Reward Profile	Unlimited	Limited
Risk Profile	Limited	Unlimited
Breakeven Point	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	Upper Breakeven Point = Strike Price of Short Calls + (Points of Maximum Profit / Number of Uncovered Calls), Lower Breakeven Point = Strike Price of Long Call +/- Net Premium Paid or Received

SHORT CALL LADDER Vs RATIO CALL SPREAD - When & How to use ?

	SHORT CALL LADDER	RATIO CALL SPREAD
Market View	Neutral	Neutral
When to use?	This strategy is implemented when a trader is moderately bullish on the market, and volatility	This strategy is used by 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 since he is selling two calls.
Action	Sell 1 ITM Call, Buy 1 ATM Call, Buy 1 OTM Call	Buy 1 ITM Call, Sell 2 OTM Calls
Breakeven Point	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	Upper Breakeven Point = Strike Price of Short Calls + (Points of Maximum Profit / Number of Uncovered Calls), Lower Breakeven Point = Strike Price of Long Call +/- Net Premium Paid or Received

SHORT CALL LADDER Vs RATIO CALL SPREAD - Risk & Reward

	SHORT CALL LADDER	RATIO CALL SPREAD
Maximum Profit Scenario	Profit Achieved When Price of Underlying > Total Strike Prices of Long Calls - Strike Price of Short Call + Net Premium Received	Strike Price of Short Call - Strike Price of Long Call + Net Premium Received - Commissions Paid
Maximum Loss Scenario	Strike Price of Lower Strike Long Call - Strike Price of Short Call - Net Premium Received + Commissions Paid	Price of Underlying - Strike Price of Short Calls - Max Profit + Commissions Paid
Risk	Limited	Unlimited
Reward	Unlimited	Limited

SHORT CALL LADDER Vs RATIO CALL SPREAD - Strategy Pros & Cons

	SHORT CALL LADDER	RATIO CALL SPREAD
Similar Strategies	Short Put Ladder, Strip, Strap	Variable Ratio Write
Disadvantage	• Unlimited risk. • Margin required.	• Unlimited potential loss. • Complex strategy with limited profit.
Advantages	• Higher probability of profit. • Unlimited upside profit. • Limited maximum loss.	• Downside risk is almost zero. • Investors can book profit from share prices moving within given limits. • Trader can maximise profit when the share closes at the upper breakeven point.