Can someone help me to understand this? It shows max loss is +12k. How come downside risk is -ve ? Btw currently I am in a loss. As per payoff graph the trade should go positive. So, why is negative downside risk ??
@Sensibull
Hi @Santhosh9
Can you share more details about it like the strike prices that you’ve chosen? We’ll try to check it at our end and get back to you.
The graph shows on expiry the minimum profit is Rs/- 12850. But for me, looks like it is not possible. Let’s say market closes at the same current price on expiry day.
Profit = 17900 (profit from put position) + 8460 (profit from call position) - 29004 (loss from future) + 1320 + 920 = -400.
So, if market closes at the same current price, the loss would be 400. So, the sensible graph is wrong ???
Please let me know so that I avoid such trades in future.
@Meher_Smaran please check and help me. If Sensible is showing wrong graph, I will close my entire trade as soon as market opens. Please help