Blog


  • Bear Call Spread

    Karthik Rangappa on February 24, 2016

    8.1 – Choosing Calls over Puts Similar to the Bear Put Spread, the Bear Call Spread is a two leg option strategy invoked when the view on the market is ‘moderately bearish’. The Bear Call Spread ..

  • Bear Put Spread

    Karthik Rangappa on February 11, 2016

    7.1 – Spreads versus naked positions Over the last five chapters we’ve discussed various multi leg bullish strategies. These strategies ranged to suit an assortment of market outlook – from ..

  • Synthetic Long & Arbitrage

    Karthik Rangappa on January 28, 2016

    6.1 – Background Imagine a situation where you would be required to simultaneously establish a long and short position on Nifty Futures, expiring in the same series. How would you do this and more i ..

  • Bear Call Ladder

    Karthik Rangappa on January 9, 2016

    5.1 – Background The ‘Bear’ in the “Bear Call Ladder” should not deceive you to believe that this is a bearish strategy. The Bear Call Ladder is an improvisation over the Call ratio back spr ..

  • Call Ratio Back Spread

    Karthik Rangappa on December 28, 2015

    4.1 – Background The Call Ratio Back Spread is an interesting options strategy. I call this interesting keeping in mind the simplicity of implementation and the kind of pay off it offers the trader. ..

  • Bull Put Spread

    Karthik Rangappa on December 11, 2015

    3.1 – Why Bull Put Spread? Similar to the Bull Call Spread, the Bull Put Spread is a two leg option strategy invoked when the view on the market is ‘moderately bullish’. The Bull Put Spread is s ..

  • Bull Call Spread

    Karthik Rangappa on November 30, 2015

    2.1 – Background The spread strategies are some of the simplest option strategies that a trader can implement. Spreads are multi leg strategies involving 2 or more options. When I say multi leg stra ..

  • Orientation

    Karthik Rangappa on November 16, 2015

    1.1 – Setting the context Before we start this module on Option Strategy, I would like to share with you a Behavioral Finance article I read couple of years ago. The article was titled “Why winnin ..

  • Case studies – wrapping it all up!

    Karthik Rangappa on October 29, 2015

    23.1 – Case studies We are now at the very end of this module and I hope the module has given you a fair idea on understanding options. I’ve mentioned this earlier in the module, at this point I f ..

  • Re-introducing Call & Put Options

    Karthik Rangappa on October 19, 2015

    22.1 – Why now? I suppose this chapter’s title may confuse you. After rigorously going through the options concept over the last 21 chapters, why are we now going back to “Call & Put Options ..