 Hey everyone, welcome to another video lesson from NavigationTrading.com. In this lesson, I wanna show you the difference between a long put vertical and a short call vertical. So we're looking at ticker EWW, this is the Mexican ETF. And let's say you were looking at this and you said, okay, this thing is a little overextended to the upside and we're looking for a pullback to the downside. Two of the different trade strategies you could use to benefit from that would be a long put vertical or a short call vertical. So how do you know which one to choose? Let's take a look. So if we go to the trade tab, we can start by just setting these up. And on the long put vertical side, I like to start in the money and then the other strike would be a little bit out of the money and on the call vertical side start somewhere a little near or out of the money and then buy a further out of the money strike. So I've already set these up. I just did them five points wide. And let's start with the short call vertical spread. So these five points wide. So I sold the 47 and bought the 52. And here's what that looks like from a risk profile standpoint. I like to set these up so that they have at least a 60% probability of success. And I wanna make sure my max loss is no more than three times that of my max profit. So in this case with one contract, we've got a max profit of $134 and a max loss of 366. So that fits the criteria. You can see if we set our price slice to break even we've got a probability of over 60%. So that works as well. So that's the short call vertical. If we look at a long put vertical, what you'll notice is it looks exactly the same. Now we've gotta move our price slice over just a little bit. So you actually get a little bit better probability of success on this. And you've got a max profit that's a little bit higher of 146 and a max loss of 354. So a little bit less. So when I set these up, sometimes I'll look at both of these to determine which one I like better. And in this case, I would like the long put vertical gives me a slightly better max profit, slightly lower max loss. And the other thing that I look at is what's gonna happen to implied volatility? Typically if stocks go down, implied volatility goes up. So that would benefit the long put vertical. If we sell the short call vertical, we're selling premium. And so an expansion implied volatility actually goes against that a little bit. So these are just some little tweaks and little nuances that you wanna look at. And so it's not a bad idea to set both of these up on your analyze tab, check out the little bit of difference between them and then make sure you understand the impact that implied volatility will have on that trade. Sometimes it makes sense to do one, sometimes it makes sense to do other. But in this case, I would choose the long put vertical because if price moves down, implied volatility is going to expand theoretically, most likely, and that'll benefit that position as well. So I hope that was helpful, see you in the next video.