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How the Iron Butterfly Option Strategy Works (Tamil)

Name: How the Iron Butterfly Option Strategy Works (Tamil)
Uploaded: 2024-09-06T13:53:52Z
Duration: 14 min 36 s
Channel: Vigneshwar Iyer
Description: How the Iron Butterfly works as a market-neutral option strategy with two calls and two puts, including its setup, risk and reward. In Tamil.

Intermediate·Tamil·15 min·147 views·2 years ago

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The Iron Butterfly is an options strategy for a market that is expected to stay in a narrow range with low volatility. It is market-neutral and uses four contracts: two calls and two puts.

This lesson explains how the strategy is set up, where its risk and reward lie, and why traders use it, including in rule-based or algo form.

What you’ll learn

✓What an Iron Butterfly is and when it is used

✓Setting up the four legs: two calls and two puts

✓Why the strategy is market-neutral

✓Understanding the risk and reward of the position

Read and practise

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SPEAKERVigneshwar IyerTrainer, Quantsapp

5+ years of market experience, mentored several people in options trading. Sound understanding of the concept of demand and supply zones using option strategies.

All 130 videos by Vigneshwar →