I was short on 3800 call and long on 4000 call of the same underlying and same expiry a few months ago. This situation is described in the 5th row in the table given on https://zerodha.com/z-connect/queries/policy-on-settlement-of-compulsory-delivery-derivative-contracts-update-oct-2019 under “Spread and covered contracts”. The underlying can settle (a) below 3800, (b) between 3800 and 4000 and © above 4000. In which of the above three situations would I have been required to take/give delivery of the underlying. Let us assume that I do not have enough balance so the CTM situation does not apply.
The strike prices are spaced by 50 points i.e. 3700, 3750, 3800, 3850, 3900, 3950, 4000, 4050, 4100. Please reply soon.