The Short Put Butterfly is a limited risk option strategy that profits when the option strategy decreases in value. The Short Put Butterfly decreased in value for several reasons, which will be discussed in depth in this video, but is generally the case when the underlying Stock, ETF or Future makes a sharp move in either direction.

The Short Put Butterfly is a great strategy in times of uncertainty but Butterflies can be tricky.  Especially without cracking the code to trading options.  Join Eric “The Wolfman” Wilkinson, former Chicago Board of Trade floor trader and 30-year Professional trader, as he explains how traders of the Short Put Butterfly can take advantage of breakouts in either direction. Eric will show traders how to crack the code to trading options and, by the end of this video, most will have a new appreciation of collecting credit!