# Long Put Butterfly

> Which version is cheaper to get filled right now - the call or the put construction?

| Property | Value |
| --- | --- |
| Market phase | Range-bound, no trend, price oscillating between levels, After a volatility spike, with a return to normal expected |
| Driver | Theta - you get paid because time passes and premium decays, Delta - you get paid because price moves your way |
| Direction | neutral with a price target |
| Max profit | the spread width minus the debit paid |
| Max loss | the debit paid |
| Risk defined | Yes |
| Legs | +1 Put @K+W; -2 Put @K; +1 Put @K-W |
| Approval level | 3 (Defined-risk spreads) |
| Experience | Intermediate |

## Formulas

```text
Break-even: (K-W) + D / (K+W) - D
Max profit: W - D
Max loss: D
```

## Legs

1. +1 Put @K+W
2. -2 Put @K
3. +1 Put @K-W

[Read this strategy on the web](https://www.mindtrajour.com/en/academy/strategies/long-put-butterfly)