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Bank Nifty Option Strategies Booklet PDF
Bank Nifty Option Strategies Booklet PDF
Options
Strategies
Bank Nifty
Bank Nifty 8900
8800
25
500
9300
Profit, when: Bank Nifty closes above the
strike price on expiry
Loss, when: Bank Nifty closes below the Bank Nifty
strike price on expiry
15000
Payoff from Call Brought
10000
5000
Bank NIfty
0
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
9700
9800
-5000
-10000
-15000
-20000
Bullish on Bank Nifty Example: Sell 1 Call Option*
8800
25
400
8400
Profit, when: Bank Nifty does not go down and
option expires unexercised
Loss, when: Bank Nifty goes down and option Bank Nifty
exercised
8000 10000 -20000 10000
8200 10000 -15000 5000
8400 10000 -10000 0
8600 10000 -5000 5000
15000
Payoff from Put Sold
10000
5000
Bank NIfty
0
8000
8100
8200
8300
8400
8500
8600
8700
8800
8900
9000
9100
-5000
-10000
-15000
-20000
Bank Nifty 8900
5000
Bank NIfty
0
8200
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
-5000
-10000
-15000
-20000
Example: Buy 1 ITM Call Option and Sell 1 OTM Call Option*
5000
Bank NIfty
0
8200
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
-5000
-10000
-15000
-20000
Example: Buy 1 Future and 1 Put Option*
25
Premium 200
5000
Bank NIfty
0
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
-5000
-10000
-15000
-20000
Example: Exisiting 1 Long Future and Sell 1 OTM Call Option*
Premium 200
5000
Bank Nifty
0
8200
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
-5000
-10000
-15000
-20000
Example: Buy 1 Future and 1 Put Option Contract
and Sell 1 Call Option Contract*
25000
Payoff from Futures Long
20000 Payoff from Put Brought
Payoff from Call Sold
15000
Net Payoff
10000
5000
Bank Nifty
0
8200
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
9700
-5000
-10000
-15000
-20000
Example: Sell 1 OTM Put Option and Buy 1 OTM Call Option*
20000
Payoff from Put Sold
15000
Payoff from Call Brought
Net Payoff
10000
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
9700
-5000
-10000
-15000
-20000
Example: Buy 1 Put Option*
25 Premium 400
15000
5000
Bank Nifty
0
8000
8100
8200
8300
8400
8500
8600
8700
8800
8900
9000
9100
-5000
-10000
-15000
-20000
Example: Sell 1 Call Option*
10000
5000
Bank Nifty
0
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
9700
9800
-5000
-10000
-15000
-20000
Example: Sell 1 ITM Call Option and Buy 1 OTM Call Option*
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
8200
-5000
-10000
-15000
-20000
Example: Buy 1 ITM Put Option and Sell 1 OTM Put Option*
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
8200
-5000
-10000
-15000
-20000
Example: Buy 1 ITM Put Option and Sell 1 OTM Put Option*
10000
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
8200
-5000
-10000
-15000
-20000
Example: Sell 1 Futures and Sell 1 Put Option*
10000
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
8200
-5000
-10000
-15000
-20000
Example: Buy 1 Call and Buy 1 Put Option at same strike
20000
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
8200
-5000
-10000
-15000
-20000
Example: Buy 1 Call and Buy 1 Put Option at same strike
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
8200
-5000
-10000
-15000
-20000
Example: Buy 1 Call and Buy 1 Put Option at different strike
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
8200
-5000
-10000
-15000
-20000
Example: Sell 1 Call and Sell 1 Put Option at different strike
5000
Bank Nifty
0
8300
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
8200
-5000
-10000
-15000
-20000
Bank Nifty Spot Price 8900
Sell ATM Call Strike 8900
Call Premium 300* 2
25 Buy ITM Call Strike 8700
Call Premium 500
Buy OTM Call Strike 9100
Call Premium 200
Upper BEP 9000
Lower BEP 8800
5000
Bank Nifty
0
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
-5000
-10000
-15000
-20000
Bank Nifty Spot Price 8900
Buy ATM Call Strike 8900
Call Premium 300* 2
25 Sell ITM Call Strike 8800
Call Premium 500
Sell OTM Call Strike 9100
Call Premium 200
Upper BEP 9000
Lower BEP 8800
Bank Nifty
5000
Bank Nifty
0
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
-5000
-10000
-15000
-20000
Bank Nifty 8900
8700
580
25 8800
520
9000
420
9100
380
9080
8720
Bank Nifty
5000
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
-5000
-10000
-20000
Bank Nifty 8900
8700
580
25 8800
520
9000
420
9100
380
9080
8720
Bank Nifty
5000
8400
8500
8600
8700
8800
8900
9000
9100
9200
9300
9400
9500
9600
-5000
-10000
-20000
Example: Buy 1 Call Strike 8800, Sell 1 Call Strike 9200, Buy 1
Put Strike 9200 & Sell Put Strike 8800*
Bank Nifty 8900
400
25 250
500
350
Bank Nifty
brought brought
7500
2500
Bank Nifty
-7500
-12500
Bank Nifty 8900
523
8800
25 302
9200
638
9200
362
8800
Bank Nifty
brought brought
8400 13000 -7500 -4000 1000 2500
8600 13000 -7500 1000 -4000 2500
8800 13000 -7500 6000 -9000 2500
9000 8000 -7500 11000 -9000 2500
9200 3000 -7500 16000 -9000 2500
9400 -2000 -2500 16000 -9000 2500
9600 -7000 2500 16000 -9000 2500
16000
12000
8000
4000
Bank Nifty
0
8200 8400 8600 8800 9000 9200 9400 9600 9800
-4000
-8000
-12000
-16000