Pairing strategy

Hi Friends!

In such volatile market where stocks are underperforming, charts are failing, I am just keen to know if there is any options pairing strategy which can work for me. I do not want to sell any "puts" or "calls" as that requires a lot of money and unlimited risk as I am aware of. Moreover, i do not want to invest more than 10K in options this time as first time last year I lost approx 50K in buying/averaging just naked calls (but that is history now and am very much aware of depreciative nature of calls over time!).

I was just studying different strategies, but could not end up anywhere:

What if I buy Feb 5900 call and buy 5200 puts both at the same time, What if i buy Feb 5700 call and 5700 put at the same time, blah blah.

Can coupling with any put or call with MiniNifty/Nifty be helpful in any way?

Please note my first concern is to protect my capital as much possible. I will be content with small reward as well.


I would really appreciate if anyone can help me out here!

Far OTM calls/puts would depreciate in value faster than water evaporation if the market stays rangebound.

BUT why 200 pts call and 500 pts put.
500 Pts put will surelly expire worthless UNLESS mkt tanks and fast.

At expiry FEB if mkt does not cross 5900 or 5200 then your options will expire worthless.




Re same strike call/put is much better wrt ROI .. remember the losing leg would lose faster than the gaining leg. Profits will materialize if and only if the move is fast or trending one sided with at least 100-150 pts.

Sahi bole SM Bhai....:thumb:

Thanks, but what should be the strategy that is what I have always been looking for. What if i long Mininifty now and buy some put (say 5200 put). 5200 would cost around 2000+, so if Mininifty goes up say 200 points, i will be in 4000 profit, and if it goes down another 150-200 points, hope The put will cost around 80-90 rs per lot, that means i may sell it with 2000 profits and Mininifty still remains intact. It may not remain flat in next two to three weeks I guess. I keep scratching my head in all permutations and combinations but never sure if it is correct, so seeking veterans' help.

Would appreciate any intraday strategy in volatile and trending markets as well.

If 5200 PUT increases by 2000 rs (profits as you say) i.e. 2000/50=40 rs then I guess mkts may have fallen 150-200 pts on the Nifty. BUT how would mini nifty remain at same levels?

Are you kidding me ....

By "remains intact" I mean it does not depreciate with time and sooner or later will touch its level while call puts go zero on expiry.

One has to make a directional call on the Market to profit in going long in Options. There are a number of threads on Options...would do you good to follow them for some time to get the hang of things...
Threads by Ghosh AK and AW10 are good place to start with...