Thursday, 1 October 2015

LT BUTTERFLY STRATEGY FOR OCTOBER'2015




















BUY 1 LOT LT 1400 CALL @ 101
 BUY 1 LOT LT 1500 CALL @ 43
SELL 2 LOTS LT 1450 CALL @69
Total risk=750
Upper break given point=1550
Lower break given point=1350

PAY OFF TABLE:


Strike Price
Call Option Price
Strike Price
Call Option Price
Strike Price
Call Option Price
Return from call
loss from II call
return from
gross return
net return
1400
101
1450
69
1500
43
0
0
0
0
-750
1400
101
1450
69
1500
43
0
0
0
0
-750
1400
101
1450
69
1500
43
0
0
0
0
-750
1400
101
1450
69
1500
43
0
0
0
0
-750
1400
101
1450
69
1500
43
2500
0
0
2500
1750
1400
101
1450
69
1500
43
6250
0
0
6250
5500
1400
101
1450
69
1500
43
10000
7500
0
2500
1750
1400
101
1450
69
1500
43
13750
15000
1250
0
-750
1400
101
1450
69
1500
43
17500
22500
5000
0
-750
1400
101
1450
69
1500
43
21250
30000
8750
0
-750
1400
101
1450
69
1500
43
25000
37500
12500
0
-750
1400
101
1450
69
1500
43
28750
45000
16250
0
-750
1400
101
1450
69
1500
43
32500
52500
20000
0
-750
1400
101
1450
69
1500
43
36250
60000
23750
0
-750
1400
101
1450
69
1500
43
40000
67500
27500
0
-750
1400
101
1450
69
1500
43
43750
75000
31250
0
-750
1400
101
1450
69
1500
43
47500
82500
35000
0
-750
1400
101
1450
69
1500
43
51250
90000
38750
0
-750
1400
101
1450
69
1500
43
55000
97500
42500
0
-750

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