Tuesday 1 August 2017

STRANGLE IN SBIN WITH BEARISH BIAS

SBIN is in news today for reducing credit policy.Moreover tomorrow is bi monthly RBI credit policy which bring SBIN more in focus.On technical grounds there is increase in open interest and significant surge in vix in this counter. One can take Strangle option strategy in options with slight bearish bias.

Leg 1: Buy 1 Lot SBIN 340 call @ 2.4-2.5
Leg 2: Buy 1 Lot SBIN 295 put @ 4.6-4.8

PAYOFF CHART


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