When it comes to Options Trading, there are different complexities involved in terms of choosing a specific strategy that works the best for you.
At the same time, each strategy has its own set of advantages as well as limitations, thus making the concept of options trading even more challenging. Thus, in case you are looking to fit a particular strategy in your option trades, just check few areas before you make a choice.
In this detailed comparison of Long Call Butterfly Vs Long Call Condor options trading strategies, we will be looking at the below-mentioned aspects and more:
- Current Market Position
- Your Risk Appetite
- Your Trading Experience
- Profit Potential
- Intention and Expectation of a trader
- Break-even point of your trade
Apart from the Long Call Butterfly Vs Long Call Condor strategies, there are more than 25 comparisons of each of these strategies with other option strategies. With all these comparisons, you should be able to filter the ones that work the best for you.
Here is the detailed Long Call Butterfly Vs Long Call Condor comparison:
| Comparison Aspect | Long Call Butterfly | Long Call Condor |
| View |  |  |
| Strategy Introduction | Long Call Butterfly is the options trading strategy which is used when the trader has a neutral outlook towards the market and expects the prices to remain range-bound...more | Long call condor is a direction-neutral strategy. It is not necessary to know the direction in which the market is expected to move. In fact, it works at the time when...more |
| Investor Obligation | Create Bull Spread when High Market Expectations, Create Bear Spread when Low Market Expectations. | The trader has the obligation to choose the Strike Prices optimally in order to see decent profits. |
| Market Position | Neutral | Neutral |
| Strategy Level Suitable for | Intermediates | Intermediates |
| Options Traded | Call | Call |
| Number of Positions | 4 | 4 |
| Action Needed | 2 ATM, 1 ITM, 1 OTM Calls | 1 Long ITM Call, 1 Short ITM Call, 1 Short OTM Call, 1 Long OTM Call |
| Risk for You | Limited | Limited |
| Profit Potential | Limited | Limited |
| Break Even Point for Investor | Lower Break-even = Lower Strike Price + Net Premium Upper Break-even = Higher Strike Price - Net Premium | Lower Breakeven = Lower Strike Price + Net Premium Upper breakeven = Higher Strike Price - Net Premium |
| Investor Intention | Options expire worthless except the one with the lower strike price | Let Options Expire Worthlessly |
| Investor Expectation | No Movement in Price of the Underlying Asset | Little or no movement in the price of the underlying asset |
| Strategy Summary | Effective | Straight-Forward |
| Advantages | Profits in Low Market Volatility, Limited Risks | Profits in Low Volatilty, Limited Risk |
| Disadvantages | Limited Profit, High Premium | High Premium, Selection of Correct Strike Prices is Paramount. |
| Market Scenarios - Profit | 1 | 1 |
| Market Scenarios - Loss | 1 | 1 |
| Also called as | NA | NA |
| More Comparisons | Long Call Butterfly Vs Short Put | Long Call Condor Vs Short Put |
| Long Call Butterfly Vs Long Combo | Long Call Condor Vs Long Combo | |
| Long Call Butterfly Vs Synthetic Call | Long Call Condor Vs Synthetic Call | |
| Long Call Butterfly Vs Long Put | Long Call Condor Vs Long Put | |
| Long Call Butterfly Vs Long Call | Long Call Condor Vs Long Call | |
| Long Call Butterfly Vs Covered Call | Long Call Condor Vs Covered Call | |
| Long Call Butterfly Vs Covered Put | Long Call Condor Vs Covered Put | |
| Long Call Butterfly Vs Protective Call | Long Call Condor Vs Protective Call | |
| Long Call Butterfly Vs Short Box | Long Call Condor Vs Short Box | |
| Long Call Butterfly Vs Long Call Condor | Long Call Condor Vs Short Call | |
| Long Call Butterfly Vs Short Call Condor | Long Call Condor Vs Short Call Condor | |
| Long Call Butterfly Vs Box Spread | Long Call Condor Vs Box Spread | |
| Long Call Butterfly Vs Short Strangle | Long Call Condor Vs Short Strangle | |
| Long Call Butterfly Vs Long Strangle | Long Call Condor Vs Long Strangle | |
| Long Call Butterfly Vs Collar Strategy | Long Call Condor Vs Collar Strategy | |
| Long Call Butterfly Vs Long Straddle | Long Call Condor Vs Long Straddle | |
| Long Call Butterfly Vs Short Straddle | Long Call Condor Vs Short Straddle | |
| Long Call Butterfly Vs Short Call | Long Call Condor Vs Long Call Butterfly | |
| Long Call Butterfly Vs Short Call Butterfly | Long Call Condor Vs Short Call Butterfly | |
| Long Call Butterfly Vs Bear Call Spread | Long Call Condor Vs Bear Call Spread | |
| Long Call Butterfly Vs Bear Put Spread | Long Call Condor Vs Bear Put Spread | |
| Long Call Butterfly Vs Bull Call Spread | Long Call Condor Vs Bull Call Spread | |
| Long Call Butterfly Vs Bull Put Spread | Long Call Condor Vs Bull Put Spread |
Thus, with this, we wrap up our comparison on Long Call Butterfly Vs Long Call Condor option strategies.
Furthermore, if you are in a neutral market situation and have a limited risk appetite, then Long Call Condor may suit you well. You need to know that this strategy provides limited level profit only.
At the same time, if you are in a neutral market situation and want to take a limited risk, then Long Call Butterfly is one of the options trading strategies you can look out for.
The profit you get using this strategy is also limited in scope.
Furthermore, as said above, it also depends on the market situation.
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