Options Trading Strategies
Complete guide to options trading strategies for Indian F&O traders. Each strategy includes market outlook, risk/reward profile, breakeven points, and best market conditions for NSE options trading.
Iron Condor
A neutral strategy that profits when the underlying stays within a defined range using a bull put spread and bear call spread.
Bull Call Spread
A bullish strategy with limited risk — buy a lower strike call and sell a higher strike call at the same expiry.
Bear Put Spread
A bearish strategy with defined risk — buy a higher strike put and sell a lower strike put at the same expiry.
Straddle
Buy or sell both a call and a put at the same strike price. Long straddles profit from large moves in either direction.
Strangle
Buy or sell OTM call and put at different strikes. Cheaper than straddles but requires larger price moves.
Covered Call
Hold the underlying stock and sell call options against it. Generates income in neutral to mildly bullish markets.
Credit Spread
Sell an option and buy a further OTM option — receive net credit. Profits when underlying stays on your side.
Debit Spread
Buy an option and sell a further OTM option — pay net debit. Defined risk, defined reward directional strategy.
Calendar Spread
Sell a near-term option and buy a longer-term option at the same strike. Profits from time decay differential.
Butterfly Spread
Buy one lower strike, sell two middle strikes, buy one higher strike. Profits when underlying stays near middle strike.
0DTE Strategy
Trade options on expiry day with extreme gamma exposure. High risk, high reward for experienced intraday traders.
Nifty Options Strategy
Options strategies specifically designed for Nifty 50 index trading considering its unique characteristics.
Bank Nifty Strategy
Options strategies for Bank Nifty's higher volatility, sector concentration, and trending behavior.