Short selling help

[Vijay1]

Please help me with calculating my short selling trade(NIFTY SPOT), i havent done short selling till date, wanna try my hands on, i am trying to understand the zerodha calculator here, i have shorted 8300CE AND 7700PE 2 lots each of dec expiry, Margin showing here is very much above my expectation, i want to know what does the span and margin exposure means here, also premium receivable is 13613 here, is that the premium i will receive if nifty expire in between 8300 and 7700? please let me know

please refer the below image for reference

https://postimg.org/image/mstmhlqp1/

 

[tarun1313]

Zerodha Calculator is showing you correct Margin.
On an estimation, SHORTING 1 NIFTY lot consumes a margin of 40,000.

Yes, Margin receivable is the amount you will receive if NIFTY expires in this range.

 

[Vijay1]

Zerodha Calculator is showing you correct Margin.
On an estimation, SHORTING 1 NIFTY lot consumes a margin of 40,000.

Yes, Margin receivable is the amount you will receive if NIFTY expires in this range.

Thank you bro, so now if nifty moves beyond any of the levels i.e 8300 OR 7700, what is the max amount i will lose?

 

[akza]

Thank you bro, so now if nifty moves beyond any of the levels i.e 8300 OR 7700, what is the max amount i will lose?

theoretically unlimited, here in this link you can see the payoff graph
http://rksv.in/trading/tools/option-strategy-builder/