"How to Trade Butterflies in Singapore ?"
"How to Trade Butterflies in Singapore ?"
Not every market is exciting — sometimes prices just move sideways. But smart investors know: even when the market sleeps, income opportunities don’t.
The Butterfly Spread is designed to profit from quiet, range-bound markets where volatility fades and prices stay near a specific target. It’s one of the most efficient, low-risk strategies for high-income investors who prefer calm precision over market noise.
💡 What’s a Butterfly Spread?
A Butterfly Spread combines both call (or put) spreads to create a balanced payoff — limited risk, limited reward, and high probability. You use three strike prices:
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Buy one lower strike option
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Sell two middle strike options
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Buy one higher strike option
The goal? For the stock to expire near the middle strike, where your profit peaks.
It’s a strategy built for stability, not speed.
💵 Real $10K Example ( $Tesla Motors(TSLA)$ – TSLA)
SetupDetailsStockTesla (TSLA)Current PriceUSD 250Buy240 Call @ USD 14Sell2 × 250 Calls @ USD 9 eachBuy260 Call @ USD 5Net Cost(14 + 5 − 18) = USD 1 per share = USD 100 per spread
You open 100 spreads, investing $10,000 total.
Scenario 1 — TSLA Ends Near $250
Your middle options expire perfectly at the target. ✅ Profit ≈ $15,000 (+50%)
Scenario 2 — TSLA Moves Too Far (Above $260 or Below $240)**
Your outer options limit further loss. ⚖️ Maximum loss = $10,000 (your cost).
Scenario 3 — TSLA Slightly Drifts
Partial profit or small loss, depending on time decay.
This setup rewards patience — not guessing.
⚙️ Why Butterflies Work
✅ Low-cost entry ✅ High reward-to-risk ratio ✅ Perfect for sideways or quiet markets ✅ Helps high-income investors earn while waiting for the next big move
It’s one of the precision tools taught in the Best Options Trading Course in Singapore for Millionaires, designed to help busy professionals earn consistent returns even when markets slow down.
Wealthy investors don’t chase movement — they capitalize on stillness.
That’s the power of the Butterfly Spread.
Modify on 2025-11-28 16:29
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
- jigglyp·2025-11-28Precision trading needs calm hands lah. Butterfly spread works best when market sleeps. [强]LikeReport
- Norton Rebecca·2025-11-28Sideways TSLA? Butterfly’s 50% upside has me hyped.1Report
- Reg Ford·2025-11-28Tesla butterfly feels like free money!LikeReport
