Today while going through MC, I came across below BankNifty Option Strategy.
Source: https://www.moneycontrol.com/news/b...-on-bank-nifty-in-truncated-week-2559643.html
Margin required for this strategy is 60K+ and Max Profit =around 16k if BN closes above 26000 by expiry. Max loss is around 4K if BN closes below 25500.
My doubt is the same P/L can be achieved by simply buying BN 25500 CE at LTP of around 90.
Am I doing my calculations wrong?
Source: https://www.moneycontrol.com/news/b...-on-bank-nifty-in-truncated-week-2559643.html
Margin required for this strategy is 60K+ and Max Profit =around 16k if BN closes above 26000 by expiry. Max loss is around 4K if BN closes below 25500.
My doubt is the same P/L can be achieved by simply buying BN 25500 CE at LTP of around 90.
Am I doing my calculations wrong?