Archive · 6 Sep 2025
SBI Cards: Short Strangle Strategy Outlined
Imagine you're betting on how much a stock price will change.
This article suggests a strategy called a "short strangle" for SBI Cards.
You sell two options contracts: one that bets the price won't go up too much and another that bets it won't go down too much.
You make money if the stock price stays in a certain range.
This is risky because if the price moves a lot, you could lose a lot of money.
The strategy is based on technical analysis of stock trends, with a short term view.
SBI Cards has been trading between ₹650 and ₹1,000.
The September futures closed at ₹793.70.
The strategy involves selling both a call and a put option.
Active monitoring of the trade is crucial.
Hold the Federal Bank 195-call with a stop-loss at ₹2.50.
- Who
- The article focuses on traders and investors.
- What
- Recommends a short strangle options strategy on SBI Cards.
- When
- The strategy is for the immediate term, with a hold duration of two weeks for the options.
- Where
- The analysis is based on the stock market data.
- Why
- To profit from limited price movement in SBI Cards, based on technical analysis.
- Stock Price
- ₹791.45
- September Futures Close
- ₹793.70
- Support Levels
- ₹760 and ₹725
- Resistance Levels
- ₹846 and ₹939
- Call Premium
- ₹1.80
- Put Premium
- ₹1.05
- Breakeven Prices
- ₹862.85 and ₹717.15