Synthetic Long Stock

The Synthetic Long Stock Strategy is a bullish options strategy which simulates purchasing a stock (Long Stock) with the advantage of having a much lower upfront cost than simply purchasing the stock outright.  The trade is placed by simultaneously purchasing an At-The-Money Call and selling an equal amount of At-The-Money Puts.  The strategy does carry a large amount of potential loss if the underlying stock turns bearish and should be followed aggressively with stops.