What are the option trading strategies

There are three type of categories.

Whether the market is a bull market ? bear market ? or sideways market ?

The option strategy to be decided only after knowing the trend of the market.

1. If it is a bullish market -

Bullish startegies
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Bull call spread

Bull put spread

2. If it is a bearish market -

Bearish startegies
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Bear call spread

Bear put spread

3. If rangebound / sideways market -

Neutral or non-directional strategies
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Guts
Butterfly
Condor
Iron Condor
Straddle : long Straddle, short Straddle
Strangle
Risk Reversal

This is for any stock market in the world. This will work in USA, India or Shanghai or any other country.

To know more about the profitable strategies read

http://en.wikipedia.org/wiki/Options_strategies

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