Complete Guide to Options Trading - 3. Long Call Payoff and Short Call Trade

In the previous video we discussed the various terms that are associated with options like premium, expiry, settlement etc. Karthik explained all these terms with a test trade—he bought the SBI 460 Call. In this video, we use the same trade and look at the various scenarios of how this trade will make money and lose money. We also look at how to calculate the P&L when you take an option trade by looking at the payoff chart, which is a visualization of the price points where you make or lose money. Explore the buying call and selling call option chapters on varsity to diver Deeper: https://zerodha.com/varsity/module/option-theory/