Monday 31 August 2015

HDIL OPTION STRATEGY

Buy HDIL 70 CALL @ 3
Buy HDIL 50 PUT @ 2.2
COST=5.2
TOTAL RISK  = 10400
RETURN = UNLIMITED
UPPER BREAK GIVEN POINT=75.2
LOWER BREAK GIVEN POINT=44.8
Pay off table:


Strike Price
Call Option Price
Strike Price
Call Option Price
Strike rate
Closing price
Return from call
return from put
Payoff
70
3
50
2.2
5
40
0
20000
9600
70
3
50
2.2
5
45
0
10000
-400
70
3
50
2.2
5
50
0
0
-10400
70
3
50
2.2
5
55
0
0
-10400
70
3
50
2.2
5
60
0
0
-10400
70
3
50
2.2
5
65
0
0
-10400
70
3
50
2.2
5
70
0
0
-10400
70
3
50
2.2
5
75
10000
0
-400
70
3
50
2.2
5
80
20000
0
9600
70
3
50
2.2
5
85
30000
0
19600
70
3
50
2.2
5
90
40000
0
29600
70
3
50
2.2
5
95
50000
0
39600
70
3
50
2.2
5
100
60000
0
49600
70
3
50
2.2
5
105
70000
0
59600
70
3
50
2.2
5
110
80000
0
69600
70
3
50
2.2
5
115
90000
0
79600
70
3
50
2.2
5
120
100000
0
89600
70
3
50
2.2
5
125
110000
0
99600
70
3
50
2.2
5
130
120000
0
109600
70
3
50
2.2
5
135
130000
0
119600
70
3
50
2.2
5
140
140000
0
129600


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