Strategy in brief: Call option and put option are bought with the same usually at-the-money strike.
When to use this strategy: you strongly believe that the stock moves far enough in either direction in the short run.
Comments:
• Buy higher/lower strike options if the position can encounter different probabilities of bullish/bearish movements of the stock.
• Buy at-the-money options if those probabilities are almost equal.

Strategy in brief: Buy call option with a lower strike and sell another call with a higher strike producing a net debit.
When to use this strategy: you expect the stock to go up or at least to be a bit more likely to rise than to fall.
Comments:
• Both options should have the same expiration date.
• This is a good position if you want to be in the stock but are unsure of bullish expectations.
•This is the most popular bullish strategy, along with the “Bull Put Spread”.

When to use this strategy: you are moderately bullish and confident that the price will not fall.

Comments:

·         Sell lower strike options if you are only somewhat convinced the stock will stagnate or rise.

·         Sell higher strike options if you are very confident the stock will stagnate or rise.

Strategy in brief: Buy a call option and benefit from the stock price upturn.
When to use this strategy: you are very bullish on the stock. The more bullish you are, the higher strike you should choose.
Comments:

• No other strategy gives you so much leveraged advantage with a limited downside risk.
• You can participate in the upward price movements by paying just the option price (a fractionof a stock price) - that's all your investment at risk.
• This strategy provides a great advantage over the outright stock purchase when you risk ten
times more capital.

Strategy in brief: Put option is bought with a lower strike and a call option is bought with a higher strike.
When to use this strategy: you strongly believe the stock will move far enough from the predefined range.
Comments:
• This strategy is similar to the buy straddle, but the premium paid here is less.
• Buy higher/lower strike options if the position can encounter different probabilities of bullish or bearish movements of the stock; buy at-the-money options if those probabilities are equal.

Strategy in brief: Buy put option with a higher strike and sell another put option with a lower strike, producing a net debit.
When to use this strategy: you think the stock will go somewhat down or at least is a bit more likely to fall than to rise.
Comments:
• Good position if you want to be in the stock but are unsure of bearish expectations.
• This is the most popular bearish strategy.

Strategy in brief: Buy a put option and benefit from the stock price downturn.
When to use this strategy: you are very bearish on the stock.
Comments:
• The more bearish you are, the more out-of-the-money (lower strike) your option should be.
• No other position gives you as much leveraged advantage in a falling stock (with a limited upside risk).

Strategy in brief: Buy put option with a lower strike and sell another put with a higher strike producing a net credit.
When to use this strategy: you expect the stock to go up, or at least you believe it is a bit more likely to rise than to fall.
Comments:
• Both options should have the same expiration date.
• This is a good position if you want to be in the stock but are unsure of bullish expectations.
• This is the most popular bullish strategy, along with the “Bull Call Spread”.

Strategy in brief: Sell call option against the underlying stock you hold.
When to use this strategy: you are moderately bullish and sure that the price will not fall.
Comments:
• Sell lower strike options if you are only somewhat convinced the stock will stagnate or rise.
• Sell higher strike options if you are very confident the stock will stagnate or rise.