Put Ratio Backspread

This strategy consists of a short position in NS close to ATM put options with a strike price K1 , and a long position in NL OTM put options with a strike price K2, where NL > NS . Typically, NL = 2 and NS = 1, or NL = 3 and NS = 2. The trader’s outlook is strongly bearish. This is a capital gain strategy.