Call ratio Back Spread Strategies

This call ratio Backspread stratgy applied in 2 circumstances:-

1)When a trader sell 1 at the money call.
2) When a trader bbuy 2 or more out of the money call.

Call Ratio Back Spread Strategies


This call ratio back spreadĀ  strategy is best for the situation when you expect the market to make a substantial up move after a period of stagnation. and also the situation when the objective is to pu this trade on as a credit, a free trade / very cheap.