| ITM |
Any option which has an Intrinsic value (For Puts
Intrinsic value = Strike Price – Spot Price and for
Calls Intrinsic value = Strike Price – Spot Price)
comes under an ‘In the Money’ (ITM) option.
|
| OTM |
Any option that does not have any Intrinsic value
comes under an ‘Out of the Money’ (OTM) option.
|
| ATM |
Any option whose strike is nearest to the spot is
considered to be an ‘At the Money’ (ATM) option.
|
| Long Call |
Buy One Call |
| Long Put |
Buy One Put |
| Short Call |
Sell One Call |
| Short Put |
Sell One Put |
| Bull Call Spread |
Buy ATM/OTM Call + Sell One OTM Call |
| Bear Call Spread |
Sell ATM/OTM Call + Buy One OTM Call |
| Bear Put Spread |
Buy One ATM/ITM Put + Sell One OTM Put |
| Bull Put Spread |
Sell ATM/ITM Put + Buy One OTM Put |
| Synthetic |
Buy ATM CE + Sell ATM PE |
| Long Collar |
Future One Buy + Sell ATM/OTM Call + Buy ATM/OTM Put
|
| Short Collar |
Future One Sell + Sell ATM/OTM Put + Buy ATM/OTM Call
|
| Married Put |
Buy Stock/Futures + Buy PE |
| Long Strangle |
Buy One OTM Call + Buy One OTM Put |
| Long Straddle |
Buy One ATM Call + Buy One ATM Put |
| Short Strangle |
Sell One OTM Call + Sell One OTM Put |
| Short Straddle |
Sell One ATM Call + Sell One ATM Put |
| Call Butterfly |
Buy 1 CE, sell 2CE, Buy 1 OTM CE |
| Put Butterfly |
Buy 1 PE, sell 2PE, Buy 1 OTM PE |
| Iron Fly |
Sell ATM PE & CE, Buy OTM CE & PE |
| Iron Condor |
Buy OTM CE & OTM PE, SELL further away OTM CE
& PE
|
| Call Calendar Spread |
Buy Call of Next week/month + Sell same strike Call of
This week/month
|
| Put Calendar Spread |
Buy Put of Next week/month + Sell same strike Put of
This week/month
|
| Diagonal |
Buy Monthly expiry CE/PE + Sell Weekly Expiry CE/PE
|
| Modified Futures Butterfly |
Buy Futures, Buy ATM PE, Sell OTM CE(2 No.s) |
| Call Ratio Spread |
Buy One ITM/ATM/OTM Call + Sell Two OTM Call (to
engulf total debit)
|
| Put Ratio Spread |
Buy One ITM/ATM/OTM Put + Sell Two OTM Put (to engulf
total debit)
|
| Calendar Put Ratio Spread |
Buy One ITM/ATM/OTM Put this week/month + Sell Two OTM
Put this next week/month
|
| Calendar Call Ratio Spread |
Buy One ITM/ATM/OTM Call this week/month + Sell Two
OTM Call this next week/month
|
| Modified Collar |
Buy Futures, Buy ATM PE, Sell OTM CE |
| Cross Calendar Spread |
Buy One ATM/Slight OTM Call/Put Next week/month + Sell
One OTM Call/Put this week/month
|
| Bearish |
Expecting the stock or the Index to move in Downward
direction
|
| Bullish |
Expecting the stock or the Index to move in Upward
direction
|
| Neutral |
Expecting the stock or the index to move in a range
bound manner
|
| BI-DI |
Bidirectional trade setup where the stock or index is
expected to move sharply in any one direction
|
| Max Profit |
This is the maximum profit that is possible to achieve
if the given trade/Idea closes for a profit
|
| Max Loss |
This is the maximum loss amount that is possible once
the trade closes for a loss. This is only an
indicative figure and the actual loss can be higher or
lower than this value depending upon various factors
such as liquidity and/or market conditions. The loss
amount of a particular Trade/Hedged Idea during the
life of the position(MTM Losses) can be substantially
much higher than this value/number as well.
|
| Breakeven |
A trade or idea which has been closed for no profit or
no loss without taking into account any
brokerage/other fees or charges
|
| Profit |
A trade or idea which has been closed for a gain
without taking into account any brokerage/other fees
or charges
|
| Loss |
A trade or idea which has been closed for a loss of
money without taking into account any brokerage/other
fees or charges
|
| Non Mtm Loss |
This can be the intermeidary losses that can happen in
the life cycle of a trade from when it is opened to
when it is closed
|
| Modified |
This is the status set when a trade has been changed
from the original legs/position that were there in the
beginning . User has to follow the actions given in
the notes when he/she sees this status change on the
app
|
