In this post we will be learning on How To create Strangle Strategy in option Selling.
Let us take an example over here, Let us take an example Nifty is at 18716 on 13th June 2023. And also we are observing market is struck in the range of 18550 to 18750 in these 300 points from the last 3 to 4 days. So, here those people who will create strangle will think that the range of Nifty is from 18550 to 18750 and will create the straddle of these two points.
Here, Option Sellers will sell Nifty 18550PE Option of 15th June 2023 Weekly Option and Sell Nifty 18850 CE Option of 15th June 2023 Weekly Option