The speaker discusses a variation of the butterfly spread known as the Iron Butterfly, or the Diamond butterfly. To initiate the strategy you will buy 1 call, sell 2 calls further out of the money and buy 1 call even further
The speaker presents a variation of the butterfly options spread known as the broken wing butterfly spread. This options strategy involves buying 1 long ITM call, shorting 2 ATM
The butterfly spread is put together to create a low risk, low reward options strategy and is designed to take advantage of a market or stock that is range bound. The butterfly can be created using call