Friday, 30 May 2014

UNITECH STRANGLE STRATEGY

Buy Unitech 40   Call @.65
Buy Unitech 22.5 Put @.50
COST =1.15
RISK PER LOT =13800
RETURN = UNLIMITED
UPPER BREAK GIVEN POINT=41.5
LOWER BREAK GIVEN POINT=21
Pay off table:...



Strike Price
Call Option Price
Strike Price
Call Option Price
Closing price
Return from call
return from put
Payoff
40
0.65
22.5
0.5
16
0
78000
64200
40
0.65
22.5
0.5
18
0
54000
40200
40
0.65
22.5
0.5
20
0
30000
16200
40
0.65
22.5
0.5
22
0
6000
-7800
40
0.65
22.5
0.5
24
0
0
-13800
40
0.65
22.5
0.5
26
0
0
-13800
40
0.65
22.5
0.5
28
0
0
-13800
40
0.65
22.5
0.5
30
0
0
-13800
40
0.65
22.5
0.5
32
0
0
-13800
40
0.65
22.5
0.5
34
0
0
-13800
40
0.65
22.5
0.5
36
0
0
-13800
40
0.65
22.5
0.5
38
0
0
-13800
40
0.65
22.5
0.5
40
0
0
-13800
40
0.65
22.5
0.5
42
24000
0
10200
40
0.65
22.5
0.5
44
48000
0
34200
40
0.65
22.5
0.5
46
72000
0
58200
40
0.65
22.5
0.5
48
96000
0
82200
40
0.65
22.5
0.5
50
120000
0
106200
40
0.65
22.5
0.5
52
144000
0
130200
40
0.65
22.5
0.5
54
168000
0
154200
40
0.65
22.5
0.5
56
192000
0
178200
40
0.65
22.5
0.5
58
216000
0
202200
40
0.65
22.5
0.5
60
240000
0
226200
40
0.65
22.5
0.5
62
264000
0
250200

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