REVERSE IRON BUTTERFLY	PROTECTIVE CALL
About Strategy	Reverse Iron Butterfly Option Strategy Reverse Iron Butterfly as the name suggests is the opposite of Iron Butterfly. In Reverse Iron Butterfly, a trader is bullish on volatility and expects the market to make significant move in the near future in either directions. Here a trader will buy 1 ATM Call Option, sell 1 OTM Call Option, buy 1 ATM Put Option, sell 1 OTM Put Option. This strategy also bags lim Read more..	Protective Call Option Strategy This strategy is simply the reversal of the Synthetic Call Strategy. This strategy is implemented when a trader is bearish on the market and expects to go down. Trader will short underlying stock in the cash market and buy either an ATM Call Option or OTM Call Option. The Call Option is bought to protect / hedge the upside risk on the short position. The .. Read more..

REVERSE IRON BUTTERFLY Vs PROTECTIVE CALL - Details

	REVERSE IRON BUTTERFLY	PROTECTIVE CALL
Market View	Neutral	Bearish
Type (CE/PE)	CE (Call Option) + PE (Put Option)	CE (Call Option)
Number Of Positions	4	1
Strategy Level	Advance	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid	Sale Price of Underlying + Premium Paid

REVERSE IRON BUTTERFLY Vs PROTECTIVE CALL - When & How to use ?

	REVERSE IRON BUTTERFLY	PROTECTIVE CALL
Market View	Neutral	Bearish
When to use?	This strategy is used when a trader is bullish on volatility and expects the market to make significant move in the near future in either directions.	This strategy is implemented when a trader is bearish on the market and expects to go down.
Action	Sell 1 OTM Put, Buy 1 ATM Put, Buy 1 ATM Call, Sell 1 OTM Call	Buy 1 ATM Call
Breakeven Point	Upper Breakeven Point = Strike Price of Long Call + Net Premium Paid, Lower Breakeven Point = Strike Price of Long Put - Net Premium Paid	Sale Price of Underlying + Premium Paid

REVERSE IRON BUTTERFLY Vs PROTECTIVE CALL - Risk & Reward

	REVERSE IRON BUTTERFLY	PROTECTIVE CALL
Maximum Profit Scenario	Strike Price of Short Call (or Long Put) - Strike Price of Long Call (or Short Put) - Net Premium Paid - Commissions Paid	Sale Price of Underlying - Price of Underlying - Premium Paid
Maximum Loss Scenario	Net Premium Paid + Commissions Paid	Premium Paid + Call Strike Price - Sale Price of Underlying + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Unlimited

REVERSE IRON BUTTERFLY Vs PROTECTIVE CALL - Strategy Pros & Cons

	REVERSE IRON BUTTERFLY	PROTECTIVE CALL
Similar Strategies	Short Put Butterfly, Short Condor	Put Backspread, Long Put
Disadvantage	• Potential loss is higher than gain, complex strategy. • Not suitable for beginners.	• Profitable when market moves as expected. • Not good for beginners.
Advantages	• Able to profit whether stocks move in either direction up or down. • This strategy can be used by option traders who cannot use credit spreads. • Predictable maximum loss and profits, volatile strategy.	• Limited risk if the market moves in opposite direction as expected. • Allows you to keep open a profitable position to make further profits. • Unlimited profit potential.