Types of Option Strategies
Here’s the heart of the discussion: strategies.
Single-Leg Strategies (Simple & Beginner-Friendly)
a) Long Call (Buying a Call)
View: Bullish
Risk: Limited to premium paid
Reward: Unlimited (theoretically)
Example: Buy Reliance 2800 CE @ ₹50 → If Reliance goes to 2900, profit = ₹50.
b) Long Put (Buying a Put)
View: Bearish
Risk: Limited to premium paid
Reward: Large downside profit potential
Example: Buy Nifty 22,000 PE → If Nifty falls, profit rises.
c) Covered Call
View: Neutral to mildly bullish
How it works: Hold stock + Sell a Call option
Goal: Earn income from option premium
Risk: Stock falls significantly.
d) Cash-Secured Put
View: Neutral to bullish
How it works: Sell a Put with enough cash to buy stock if assigned.
Goal: Collect premium or buy stock cheaper.
Here’s the heart of the discussion: strategies.
Single-Leg Strategies (Simple & Beginner-Friendly)
a) Long Call (Buying a Call)
View: Bullish
Risk: Limited to premium paid
Reward: Unlimited (theoretically)
Example: Buy Reliance 2800 CE @ ₹50 → If Reliance goes to 2900, profit = ₹50.
b) Long Put (Buying a Put)
View: Bearish
Risk: Limited to premium paid
Reward: Large downside profit potential
Example: Buy Nifty 22,000 PE → If Nifty falls, profit rises.
c) Covered Call
View: Neutral to mildly bullish
How it works: Hold stock + Sell a Call option
Goal: Earn income from option premium
Risk: Stock falls significantly.
d) Cash-Secured Put
View: Neutral to bullish
How it works: Sell a Put with enough cash to buy stock if assigned.
Goal: Collect premium or buy stock cheaper.
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Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
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Penafian
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Hello Everyone! 👋
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Penerbitan berkaitan
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.