BULL CALL SPREAD	STRIP
About Strategy	Bull Call Spread Option Strategy Bull Call Spread option trading strategy is used by a trader who is bullish in nature and expects the underlying asset to give decent returns in the near future. This strategy includes buying of an ‘In The Money’ Call Option and selling of ‘Deep Out Of the Money’ Call Option of the same underlying asset and the same expiration date. Read more..	Strip Option Strategy Strip Strategy is the opposite of Strap Strategy. When a trader is bearish on the market and bullish on volatility then he will implement this strategy by buying two ATM Put Options & one ATM Call Option, of the same strike price, expiry date & underlying asset. If the prices move downwards then this strategy will make more profits compared to short straddle because of the .. Read more..

BULL CALL SPREAD Vs STRIP - Details

	BULL CALL SPREAD	STRIP
Market View	Bullish	Neutral
Type (CE/PE)	CE (Call Option)	CE (Call Option) + PE (Put Option)
Number Of Positions	2	3
Strategy Level	Beginners	Beginners
Reward Profile	Limited	Unlimited
Risk Profile	Limited	Limited
Breakeven Point	Strike price of purchased call + net premium paid	Upper Breakeven Point = Strike Price of Calls/Puts + Net Premium Paid, Lower Breakeven Point = Strike Price of Calls/Puts - (Net Premium Paid/2)

BULL CALL SPREAD Vs STRIP - When & How to use ?

	BULL CALL SPREAD	STRIP
Market View	Bullish	Neutral
When to use?	This strategy is used when an investor is Bullish in the market but expect the underlying to gain mildly in near future.	When a trader is bearish on the market and bullish on volatility then he will implement this strategy.
Action	Buy ITM Call Option, Sell OTM Call Option	Buy 1 ATM Call, Buy 2 ATM Puts
Breakeven Point	Strike price of purchased call + net premium paid	Upper Breakeven Point = Strike Price of Calls/Puts + Net Premium Paid, Lower Breakeven Point = Strike Price of Calls/Puts - (Net Premium Paid/2)

BULL CALL SPREAD Vs STRIP - Risk & Reward

	BULL CALL SPREAD	STRIP
Maximum Profit Scenario	(Strike Price of Call 1 - Strike Price of Call 2) - Net Premium Paid	Price of Underlying - Strike Price of Calls - Net Premium Paid OR 2 x (Strike Price of Puts - Price of Underlying) - Net Premium Paid
Maximum Loss Scenario	Net Premium Paid	Net Premium Paid + Commissions Paid
Risk	Limited	Limited
Reward	Limited	Unlimited

BULL CALL SPREAD Vs STRIP - Strategy Pros & Cons

	BULL CALL SPREAD	STRIP
Similar Strategies	Collar	Strap, Short Put Ladder
Disadvantage	• Limited profit potential to the higher strike call sold if the underlying stock price rises. • Maximum profit only if stock rises to the higher of 2 strike prices selected.	Expensive., The share price must change significantly to generate profit., High Bid/Offer spread can have a negative influence on the position.
Advantages	• Allows you to reduce risk and cost of your investment. • When placing the spread, exit strategy is pre-determined in advance. • Risk is limited to the net premium paid.	Profit is generated when the share price changes in any direction., Limited loss., The profit is potentially unlimited when share prices are moving.