....
Max profit = 1750 + 950 = Rs. 2,700
Max loss = ((100 x 50) - 2700)) = Rs. 2,300
You will make money as long as Nifty stays in a wide 6% range of 5700 and 6100.
Do this every month and stay within the 6% strikes, and you will make a minimum of 20% returns per year on capital - even during volatile times. Your returns could be in the range of 30% plus, in a range bound market.
Max profit = 1750 + 950 = Rs. 2,700
Max loss = ((100 x 50) - 2700)) = Rs. 2,300
You will make money as long as Nifty stays in a wide 6% range of 5700 and 6100.
Do this every month and stay within the 6% strikes, and you will make a minimum of 20% returns per year on capital - even during volatile times. Your returns could be in the range of 30% plus, in a range bound market.
If we go with just a Debit spread (Bull/Bear) with say (20/30 points debit spread) the RR would be 1:4 (approximately) and you don't need to wait until the expiry. If market is well above your strike price any time during the month, you will get a handsome profit to exit. So IMO debit spread is better than Iron Condor.
All these strategies are good and works well but only thing needed is discipline to manage the trade. :thumb: