In current range bound market IMT (well that's modified version of IMO... IMT - In My Thinking ) where support lies at 5100 and Resistance is at 5400-5450 levels, Short Strangle could be highly profitable.
Sell 5200 PE Apr - 32
Sell 5400 CE Apr - 58
Total Credit collected is 90. This shall be max profit (excluding commissions). Max profit when Nifty expires between 5200 and 5400.
Max Loss is unlimited (atleast as per theory). Max Loss occurs when Nifty expires below 5200 or above 5400.
SL should be Nifty closing below 5200 for 2 days or closing above 5450 for 2 days. Change SL to suit your trading style.
:clap: Awaiting your expert comments :clap:
Sell 5200 PE Apr - 32
Sell 5400 CE Apr - 58
Total Credit collected is 90. This shall be max profit (excluding commissions). Max profit when Nifty expires between 5200 and 5400.
Max Loss is unlimited (atleast as per theory). Max Loss occurs when Nifty expires below 5200 or above 5400.
SL should be Nifty closing below 5200 for 2 days or closing above 5450 for 2 days. Change SL to suit your trading style.
:clap: Awaiting your expert comments :clap: