A neutral to bullish option strategy that bears resemblance to a long call butterfly with an exception that the long out-of-the-money calls have a strike price closer to the central strike price of the short calls. Put another way, this strategy involves buying one in-the-money (ITM) call option, selling two at-the-money (ATM) calls, and buying one out-of-the-money (OTM) call, all with the same expiration month out or less. For example, suppose the shares of XYZ company are trading for $100 on April 15, 2013. An investor may establish a modified call butterfly by buying one May 2013 90 call (ITM CALL), selling two May 2013 100 calls (ATM calls), and buying one May 2013 105 call (OTM call).
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