PUT BACKSPREAD	SHORT PUT LADDER
About Strategy	Put Backspread Option Strategy If the trader is bearish on market and bullish in volatility, he will implement this strategy. However the trader can be neutral in nature i.e. indifferent if the market moves in either of the direction, this strategy will make profits, but uptrend will give a capped income than downtrend which will give unlimited returns. Read more..	Short Put Ladder Option Strategy  This strategy is implemented when a trader is slightly bearish on the market. A trader is required to be bullish over the volatility in the market. It involves sale of an ITM Put Option and buying of 1 ATM & 1 OTM Put Options. However, the risk associated with this strategy is limited. Read more..

PUT BACKSPREAD Vs SHORT PUT LADDER - Details

	PUT BACKSPREAD	SHORT PUT LADDER
Market View	Bearish	Neutral
Type (CE/PE)	PE (Put Option)	PE (Put Option)
Number Of Positions	2	3
Strategy Level	Advance	Advance
Reward Profile		Unlimited
Risk Profile		Limited
Breakeven Point		Upper Breakeven Point = Strike Price of Short Put - Net Premium Received Lower Breakeven Point = Total Strike Prices of Long Puts - Strike Price of Short Put + Net Premium Received

PUT BACKSPREAD Vs SHORT PUT LADDER - When & How to use ?

	PUT BACKSPREAD	SHORT PUT LADDER
Market View	Bearish	Neutral
When to use?		This strategy is implemented when a trader is slightly bearish on the market.
Action		Sell ITM Put Option, Buying 1 ATM & 1 OTM Put Option.
Breakeven Point		Upper Breakeven Point = Strike Price of Short Put - Net Premium Received Lower Breakeven Point = Total Strike Prices of Long Puts - Strike Price of Short Put + Net Premium Received

PUT BACKSPREAD Vs SHORT PUT LADDER - Risk & Reward

	PUT BACKSPREAD	SHORT PUT LADDER
Maximum Profit Scenario		When Price of Underlying < Total Strike Prices of Long Puts - Strike Price of Short Put + Net Premium Received
Maximum Loss Scenario		Strike Price of Short Put - Strike Price of Higher Strike Long Put - Net Premium Received + Commissions Paid
Risk	Limited	Limited
Reward	Unlimited	Unlimited

PUT BACKSPREAD Vs SHORT PUT LADDER - Strategy Pros & Cons

	PUT BACKSPREAD	SHORT PUT LADDER
Similar Strategies		Strap, Strip
Disadvantage		• Best to use when you are confident about movement of market. • Small margin required.
Advantages		• When there is surge in implied volatility, this strategy can give more profit. • Unlimited downside profit. • Limited risk and unlimited reward strategy.