Reason for calendar Butterfly
Structure:
a) 48000 PE of 19 June expiry around 722 +1X
b) 49000 PE of 26 June expiry around 1052 -2X
c) 50000 PE of 26 June expiry around 1633 +1X
Aprox cost 36500
SL: 1K, if IV increases further on Election day.
IV usually crashes on election day; 15% drop of India vix is usually consider for booking profits, providing the profit of 3 to 5K(8.5% to 14%) on election day per single lot.
Duration 2 days or 1 day