Learning Group -VIJAYWADA

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niftyoption

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suri112000

Well-Known Member
Peace of Mind with Collar

The collar trade allows you execute trades at very low risk and still generate good returns. In certain situations it can be a no risk trade or even generate a guaranteed return. Correct application of this trade could generate descent returns and will require little maintenance.


SBIN

Buy 1 lot SBIN futures @ 2433
Buy 1 lot SBIN Put Oct 2400 strike @ 50.30
Short 1 lot SBIN Call Oct 2550 strike @ 25.75

Cost = 2458 + expenses
Maximum risk = 25 points + expenses

Maximum gain = 92 points - expenses (Target 2550)

Margin required = 60000

Will monitor this and make adjustments if necessary in due course.
Present Position

SBIN futures LTP 2384 (Loss 49 points)
SBIN Put Oct 2400 strike LTP 71.80 (Profit 21.50 points)
SBIN Call Oct 2550 strike LTP 15.50 (Profit 10.25 points)

Net Loss = 17.25 points.

Adjustment to be made

Book profit in SBIN put Oct 2400 strike @ 71.80
Book profit in SBIN Call Oct 2550 strike @ 15.50

Buy 1 lot SBIN Put Oct 2350 strike @ 49.80
Sell 1 lot SBIN Call Oct 2500 strike @ 25.00
 
@Suri112000

Good to see you update your Collar. :thumb: Is it possible for you to show any strategy analyzing pictures (Screen shots) about your trade in your market with your software you may use?

This would just be an add to what you do and would help, even educate the followers of yours here in this thread to show in a pictured way how option trading works.

Take care dear buddy and have a nice evening / Dan :)
 
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