How to use the strategy builder
- Pick a ready-made strategy or add legs yourself: buy or sell, call (CE) or put (PE), strike and number of lots.
- Entry price starts at the last traded price; change it to test a different fill.
- The solid line is your profit or loss on expiry day; the dashed line is the value before expiry, worked out with Black-Scholes from each option's current implied volatility. Move the slider to see how it changes as days pass.
- Probability of profit assumes prices move randomly in line with the at-the-money implied volatility; it is an estimate, not a forecast.
- Copy link saves the strategy in the address, so you can share it or come back to it.
What is an options strategy builder?
It lets you combine BHEL calls and puts (buy or sell, any strike and number of lots) and shows the payoff chart, maximum profit and loss, breakevens, probability of profit and Greeks, using live option prices.
How is the payoff before expiry worked out?
With the Black-Scholes model, using each option's current implied volatility and the days left to expiry. The payoff at expiry uses only the strike and the premium.
Does it include margin, brokerage and taxes?
No. It shows the strategy's own profit and loss from the premiums. Check your broker for the margin and charges before trading.
What is the lot size of BHEL?
The page shows the current lot size next to the expiry. Profit and loss figures are for the number of lots you enter.