Saturday 4 May 2013

A SYNTHETIC SHORT PUT

A synthetic short put is created when long stock position is combined with a short call of the same series. It is so named because the established position has the same profit potential a short put.
The covered call is a popular example of a synthetic short put.
 When to Use
1.In bearish momentum  but want limited risk.......

Thursday 2 May 2013

5 MISTAKES WHILE TRADING IN OPTION

1.Not having a defined exit plan
2.Trying to make past losses by doubling up
3.Trading illiquid option
4.Waiting too long to buy back short strategies
5.Legging into spread trades

Tuesday 30 April 2013

Monday 29 April 2013

SBIN STRANGLE STRATEGY


SBIN STRANGLE :
BUY SBIN 2400 CALL @ 40 AND 
BUY SBIN 2150 PUT @ 44

LOT SIZE : 125
TOTAL INVESTMENT(40+44)*125=10500
RETURN UNLIMITED