{"id":217271,"date":"2026-08-24T15:45:05","date_gmt":"2026-08-24T10:15:05","guid":{"rendered":"https:\/\/univest.in\/blogs-2\/?p=217271"},"modified":"2026-08-24T15:45:06","modified_gmt":"2026-08-24T10:15:06","slug":"long-strangle-nifty-next-50","status":"publish","type":"post","link":"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/","title":{"rendered":"Long Strangle Nifty Next 50: Setup, Payoff and Risk Guide"},"content":{"rendered":"<div class=\"meta-block\"><\/div>\n<p style=\"border-left: 4px solid #1F4E79; background: #EBF3FB; padding: 10px 16px; font-style: italic;\"><em>Nifty Next 50 level used in this article: Rs 73,863 (as of 24 Aug 2026). Next monthly (last Tuesday of the month) expiry: 25 August 2026 (Tuesday). Lot size 25. Weekly options on Nifty Next 50 were discontinued in November 2024 under SEBI&#8217;s one weekly index per exchange rule; only monthly contracts remain.<\/em><\/p>\n<div style=\"background: #F0F9FF; border-left: 4px solid #2E7D32; border-radius: 6px; padding: 14px 18px; margin: 18px 0;\">\n<p style=\"margin: 0; color: #1f4e79; font-size: 14px;\"><strong>Quick Answer<\/strong><\/p>\n<p style=\"margin: 8px 0 0;\">The long strangle Nifty Next 50 involves buying an out of the money call and an out of the money put on the same monthly expiry, creating a trade that may profit from a large move in Nifty Next 50 in either direction. With Nifty Next 50 at Rs 73,863, the net debit paid at entry is the maximum loss, generally lower than a comparable long straddle because both options are out of the money rather than at the money. The long strangle Nifty Next 50 may be considered before major events, though the index must move further than it would need to for a straddle before either option gains meaningful value.<\/p>\n<\/div>\n<p>The long strangle Nifty Next 50 trades a lower entry cost for a wider breakeven range compared with a long straddle. Because both legs start out of the money, the combined premium is smaller, but the index needs to move beyond one of the two further apart breakeven points to generate a profit. Because Nifty Next 50 only trades monthly contracts, the this strategy typically runs across a full month rather than a single week.<\/p>\n<p>This strategy is commonly used when a trader expects a significant move in Nifty Next 50 but wants to reduce the upfront cost compared with an at the money straddle, accepting a larger required move in exchange.<\/p>\n<p style=\"margin-top: 24px;\"><a href=\"https:\/\/univest.in\/user\/log-in?utm_source=blogs&amp;utm_medium=long-strangle-nifty-next-50\"><strong>Click Here &#8211; Get Free Investment Predictions<\/strong><\/a><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#What_Is_the_Long_Strangle_Nifty_Next_50\" title=\"What Is the Long Strangle Nifty Next 50?\">What Is the Long Strangle Nifty Next 50?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#How_Does_the_Long_Strangle_Nifty_Next_50_Work\" title=\"How Does the Long Strangle Nifty Next 50 Work?\">How Does the Long Strangle Nifty Next 50 Work?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Long_Strangle_Nifty_Next_50_Step_by_Step_Setup\" title=\"Long Strangle Nifty Next 50: Step by Step Setup\">Long Strangle Nifty Next 50: Step by Step Setup<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Illustrative_Payoff_Long_Strangle_Nifty_Next_50\" title=\"Illustrative Payoff: Long Strangle Nifty Next 50\">Illustrative Payoff: Long Strangle Nifty Next 50<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Greeks_for_the_Long_Strangle_Nifty_Next_50\" title=\"Greeks for the Long Strangle Nifty Next 50\">Greeks for the Long Strangle Nifty Next 50<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#When_the_Long_Strangle_Nifty_Next_50_May_Be_Considered\" title=\"When the Long Strangle Nifty Next 50 May Be Considered\">When the Long Strangle Nifty Next 50 May Be Considered<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#When_NOT_to_Use_the_Long_Strangle_Nifty_Next_50\" title=\"When NOT to Use the Long Strangle Nifty Next 50\">When NOT to Use the Long Strangle Nifty Next 50<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Risk_Management\" title=\"Risk Management\">Risk Management<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Transaction_Costs\" title=\"Transaction Costs\">Transaction Costs<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Long_Strangle_vs_Other_Nifty_Next_50_Strategies\" title=\"Long Strangle vs Other Nifty Next 50 Strategies\">Long Strangle vs Other Nifty Next 50 Strategies<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Frequently_Asked_Questions\" title=\"Frequently Asked Questions\">Frequently Asked Questions<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#What_is_the_long_strangle_Nifty_Next_50\" title=\"What is the long strangle Nifty Next 50?\">What is the long strangle Nifty Next 50?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-14\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#How_does_the_long_strangle_Nifty_Next_50_differ_from_a_straddle\" title=\"How does the long strangle Nifty Next 50 differ from a straddle?\">How does the long strangle Nifty Next 50 differ from a straddle?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-15\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#What_is_the_maximum_loss_in_the_long_strangle_Nifty_Next_50\" title=\"What is the maximum loss in the long strangle Nifty Next 50?\">What is the maximum loss in the long strangle Nifty Next 50?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-16\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#How_are_the_breakeven_points_calculated_for_the_long_strangle_Nifty_Next_50\" title=\"How are the breakeven points calculated for the long strangle Nifty Next 50?\">How are the breakeven points calculated for the long strangle Nifty Next 50?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-17\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Does_Nifty_Next_50_have_weekly_options_for_the_long_strangle\" title=\"Does Nifty Next 50 have weekly options for the long strangle?\">Does Nifty Next 50 have weekly options for the long strangle?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-18\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#What_is_the_current_lot_size_for_Nifty_Next_50_options\" title=\"What is the current lot size for Nifty Next 50 options?\">What is the current lot size for Nifty Next 50 options?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-19\" href=\"https:\/\/univest.in\/blogs-2\/long-strangle-nifty-next-50\/#Is_the_long_strangle_Nifty_Next_50_suitable_for_beginners\" title=\"Is the long strangle Nifty Next 50 suitable for beginners?\">Is the long strangle Nifty Next 50 suitable for beginners?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"What_Is_the_Long_Strangle_Nifty_Next_50\"><\/span><strong>What Is the Long Strangle Nifty Next 50?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The the position is a two leg options trade that buys an out of the money call above the current index level and an out of the money put below it, both on the same monthly expiry. The net debit paid is the maximum loss, and profit potential is substantial if Nifty Next 50 moves significantly in either direction before expiry.<\/p>\n<p>The two legs of the long strangle Nifty Next 50 are:<\/p>\n<ul>\n<li><strong>Buy an out of the money call<\/strong> above the current index level, which profits if Nifty Next 50 rises significantly<\/li>\n<li><strong>Buy an out of the money put<\/strong> below the current index level, which profits if Nifty Next 50 falls significantly<\/li>\n<\/ul>\n<p>Because both legs start out of the money, the this trade costs less upfront than a comparable at the money straddle, but requires a larger move before either option moves meaningfully into profit.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"How_Does_the_Long_Strangle_Nifty_Next_50_Work\"><\/span><strong>How Does the Long Strangle Nifty Next 50 Work?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>With <a href=\"https:\/\/univest.in\/indices\/nifty-next-50\/nifty-next-50-share-price-today\">Nifty Next 50<\/a> at Rs 73,863, the this options approach might use a call strike near 74,650 and a put strike near 73,050. The trade profits when Nifty Next 50 closes beyond one of the two breakeven points, which are further from the current level than they would be for a straddle centred on the same index.<\/p>\n<table style=\"border-collapse: collapse; width: 100%; font-size: 14px;\" border=\"1\" cellspacing=\"0\" cellpadding=\"8\">\n<thead>\n<tr style=\"background: #1F4E79; color: #ffffff;\">\n<th><strong>Parameter<\/strong><\/th>\n<th><strong>Details<\/strong><\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Index<\/td>\n<td>Nifty Next 50 (NSE)<\/td>\n<\/tr>\n<tr>\n<td>Expiry<\/td>\n<td>Monthly only, last Tuesday of the month. Effective September 2025 (NSE index expiry swap). Weekly contracts discontinued November 2024.<\/td>\n<\/tr>\n<tr>\n<td>Lot Size<\/td>\n<td>25 units (effective from January 2026 per NSE circular, reduced from unchanged since 2024 revision)<\/td>\n<\/tr>\n<tr>\n<td>Strategy Type<\/td>\n<td>Directional agnostic, net debit, lower cost than straddle<\/td>\n<\/tr>\n<tr>\n<td>Legs<\/td>\n<td>2 (one OTM call and one OTM put)<\/td>\n<\/tr>\n<tr>\n<td>Max Profit<\/td>\n<td>Substantial to unlimited (upside); large (downside)<\/td>\n<\/tr>\n<tr>\n<td>Max Loss<\/td>\n<td>Net debit paid at entry, times lot size<\/td>\n<\/tr>\n<tr>\n<td>Margin<\/td>\n<td>Varies dynamically. Check live margin on your broker&#8217;s calculator before placing any order.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><span class=\"ez-toc-section\" id=\"Long_Strangle_Nifty_Next_50_Step_by_Step_Setup\"><\/span><strong>Long Strangle Nifty Next 50: Step by Step Setup<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ol>\n<li><strong>Identify OTM call and put strikes from the Nifty Next 50 option chain on NSE.<\/strong> With Nifty Next 50 at Rs 73,863, strikes several hundred points above and below the current level, such as 74,650 and 73,050, are common starting points for the the spread.<\/li>\n<li><strong>Check implied volatility for the monthly cycle.<\/strong> Some traders prefer entering the long strangle Nifty Next 50 when IV is relatively low and a large move is anticipated within the monthly window.<\/li>\n<li><strong>Buy the OTM call and OTM put simultaneously.<\/strong> Both legs of the this strategy should be placed together to avoid legging risk.<\/li>\n<li><strong>Calculate both breakeven points.<\/strong> Upper breakeven equals the call strike plus the net debit. Lower breakeven equals the put strike minus the net debit.<\/li>\n<li><strong>Set an exit plan before entry.<\/strong> Given the monthly holding period and the wider breakeven range, decide in advance whether you will hold to expiry or exit early if a large move occurs before then.<\/li>\n<\/ol>\n<h2><span class=\"ez-toc-section\" id=\"Illustrative_Payoff_Long_Strangle_Nifty_Next_50\"><\/span><strong>Illustrative Payoff: Long Strangle Nifty Next 50<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><strong>Illustrative example for educational purposes only. Strikes, premiums and calculations are hypothetical and should not be interpreted as a trade recommendation.<\/strong><\/p>\n<p><em>Hypothetical setup: Buy 74,650 CE and buy 73,050 PE. Net debit: Rs 175 per unit. Lot size: 25 units. Upper breakeven: 74,825. Lower breakeven: 72,875.<\/em><\/p>\n<table style=\"border-collapse: collapse; width: 100%; font-size: 14px;\" border=\"1\" cellspacing=\"0\" cellpadding=\"8\">\n<thead>\n<tr style=\"background: #1F4E79; color: #ffffff;\">\n<th><strong>Nifty Next 50 at Monthly Expiry<\/strong><\/th>\n<th><strong>P&amp;L Per Unit (Rs)<\/strong><\/th>\n<th><strong>P&amp;L Per Lot (25 units, Rs)<\/strong><\/th>\n<th><strong>Outcome<\/strong><\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Well below 72,875<\/td>\n<td>Growing profit<\/td>\n<td>Growing profit<\/td>\n<td>Put profits exceed debit<\/td>\n<\/tr>\n<tr>\n<td>72,875 (lower breakeven)<\/td>\n<td>0<\/td>\n<td>0<\/td>\n<td>Breakeven<\/td>\n<\/tr>\n<tr>\n<td>Between 73,050 and 74,650<\/td>\n<td>-175<\/td>\n<td>-4,375<\/td>\n<td>Max loss; both options expire worthless<\/td>\n<\/tr>\n<tr>\n<td>74,825 (upper breakeven)<\/td>\n<td>0<\/td>\n<td>0<\/td>\n<td>Breakeven<\/td>\n<\/tr>\n<tr>\n<td>Well above 74,825<\/td>\n<td>Growing profit<\/td>\n<td>Growing profit<\/td>\n<td>Call profits exceed debit<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>The maximum loss in the long strangle Nifty Next 50 occurs when Nifty Next 50 closes anywhere between the two OTM strikes at the monthly expiry, causing both options to expire worthless. This flat maximum loss zone is wider than the single point of maximum loss in a straddle, which is one trade off of the strangle&#8217;s lower cost.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Greeks_for_the_Long_Strangle_Nifty_Next_50\"><\/span><strong>Greeks for the Long Strangle Nifty Next 50<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><strong>Delta:<\/strong> The long strangle Nifty Next 50 starts close to delta neutral, with directional delta building as the index approaches either strike.<\/p>\n<p><strong>Gamma:<\/strong> The long strangle Nifty Next 50 is long gamma, benefiting from large fast moves, though gamma only becomes meaningful once the index approaches one of the two OTM strikes.<\/p>\n<p><strong>Theta:<\/strong> Theta decay works against the long strangle Nifty Next 50 throughout the monthly cycle, typically accelerating in the final week before expiry.<\/p>\n<p><strong>Vega:<\/strong> The long strangle Nifty Next 50 is long vega. A rise in implied volatility after entry is generally favourable, and because the position runs a full monthly cycle, it carries meaningful vega exposure over that horizon.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"When_the_Long_Strangle_Nifty_Next_50_May_Be_Considered\"><\/span><strong>When the Long Strangle Nifty Next 50 May Be Considered<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The long strangle Nifty Next 50 may be considered when a major event or catalyst is expected within the monthly expiry window and a trader wants directional exposure at a lower cost than a straddle; implied volatility is relatively low at entry; or the index has been consolidating and a breakout appears possible before the monthly expiry.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"When_NOT_to_Use_the_Long_Strangle_Nifty_Next_50\"><\/span><strong>When NOT to Use the Long Strangle Nifty Next 50<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Consider avoiding the long strangle Nifty Next 50 when implied volatility is already elevated at entry, inflating both option premiums; the index is trending steadily, where a directional trade may be more appropriate; or there is limited time before the monthly expiry for a sufficiently large move to overcome the wider breakeven range.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Risk_Management\"><\/span><strong>Risk Management<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The long strangle Nifty Next 50 has limited defined risk equal to the net debit paid. Given the monthly holding period and the flat maximum loss zone between the two strikes, traders should set an explicit exit rule and reassess the position periodically rather than only at expiry.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Transaction_Costs\"><\/span><strong>Transaction Costs<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The actual return from the long strangle Nifty Next 50 is reduced by brokerage, exchange transaction charges, STT, GST, SEBI charges, stamp duty, bid ask spread impact, and slippage on both entry and exit.<\/p>\n<p style=\"margin-top: 24px;\"><a href=\"https:\/\/univest.in\/screeners\"><strong>Use Univest Screener to Identify the Best F&amp;O Setups<\/strong><\/a><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Long_Strangle_vs_Other_Nifty_Next_50_Strategies\"><\/span><strong>Long Strangle vs Other Nifty Next 50 Strategies<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<table style=\"border-collapse: collapse; width: 100%; font-size: 14px;\" border=\"1\" cellspacing=\"0\" cellpadding=\"8\">\n<thead>\n<tr style=\"background: #1F4E79; color: #ffffff;\">\n<th><strong>Strategy<\/strong><\/th>\n<th><strong>Market View<\/strong><\/th>\n<th><strong>Max Profit<\/strong><\/th>\n<th><strong>Max Loss<\/strong><\/th>\n<th><strong>Complexity<\/strong><\/th>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Long Strangle<\/td>\n<td>Large move, either direction<\/td>\n<td>Substantial<\/td>\n<td>Defined (net debit, lower cost)<\/td>\n<td>Low Medium<\/td>\n<\/tr>\n<tr>\n<td>Straddle<\/td>\n<td>Large move, either direction<\/td>\n<td>Substantial (higher potential)<\/td>\n<td>Defined (net debit, higher cost)<\/td>\n<td>Low Medium<\/td>\n<\/tr>\n<tr>\n<td>Iron Condor<\/td>\n<td>Rangebound<\/td>\n<td>Defined (net credit)<\/td>\n<td>Defined (spread minus credit)<\/td>\n<td>Medium<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>The long strangle Nifty Next 50 costs less than a comparable straddle because both legs start out of the money, but it requires a larger move before generating a profit.<\/p>\n<p style=\"margin-top: 24px;\"><em>Download the <a href=\"http:\/\/apps.apple.com\/in\/app\/univest-stocks-investment\/id6443753518\" rel=\"nofollow noopener\" target=\"_blank\">Univest iOS App<\/a> or <a href=\"http:\/\/play.google.com\/store\/apps\/details?id=com.univest.capp&amp;hl=en_IN\" rel=\"nofollow noopener\" target=\"_blank\">Univest Android App<\/a> to track option chains and monitor your F&amp;O positions.<\/em><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><strong>Conclusion<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>The long strangle Nifty Next 50 offers a lower cost way to position for a large move in either direction compared with a straddle, in exchange for a wider breakeven range. Because Nifty Next 50 only offers monthly contracts, the long strangle Nifty Next 50 carries a longer holding period than a Nifty 50 weekly equivalent. Always verify current lot size (25 units from January 2026) and expiry schedule on NSE before executing any trade.<\/p>\n<div style=\"background: #CC0000; border-radius: 8px; padding: 16px 20px; margin: 24px 0;\">\n<p style=\"color: #ffffff; font-size: 13px; line-height: 1.7; margin: 0;\"><strong style=\"color: #ffffff;\">Disclaimer:<\/strong> Data and figures in this article are sourced from publicly available information and may or may not be accurate. All examples are illustrative and hypothetical only. Please verify all data including contract specifications, lot sizes, and expiry schedules with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).<\/p>\n<\/div>\n<h2><span class=\"ez-toc-section\" id=\"Frequently_Asked_Questions\"><\/span><strong>Frequently Asked Questions<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"What_is_the_long_strangle_Nifty_Next_50\"><\/span><strong>What is the long strangle Nifty Next 50?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The long strangle Nifty Next 50 buys an out of the money call and an out of the money put on the same Nifty Next 50 monthly expiry. It may profit from a large move in either direction, with the net debit paid as the maximum loss.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"How_does_the_long_strangle_Nifty_Next_50_differ_from_a_straddle\"><\/span><strong>How does the long strangle Nifty Next 50 differ from a straddle?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The long strangle Nifty Next 50 uses out of the money strikes on both legs rather than the at the money strike used in a straddle, generally costing less but requiring a larger move to reach breakeven.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_is_the_maximum_loss_in_the_long_strangle_Nifty_Next_50\"><\/span><strong>What is the maximum loss in the long strangle Nifty Next 50?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The maximum loss is the net debit paid for both options, multiplied by the 25 unit lot size. This loss occurs when Nifty Next 50 closes anywhere between the two OTM strikes at the monthly expiry.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"How_are_the_breakeven_points_calculated_for_the_long_strangle_Nifty_Next_50\"><\/span><strong>How are the breakeven points calculated for the long strangle Nifty Next 50?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The upper breakeven equals the call strike plus the net debit. The lower breakeven equals the put strike minus the net debit.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Does_Nifty_Next_50_have_weekly_options_for_the_long_strangle\"><\/span><strong>Does Nifty Next 50 have weekly options for the long strangle?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> No. Weekly options on Nifty Next 50 were discontinued in November 2024. The long strangle Nifty Next 50 uses only the monthly contract.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"What_is_the_current_lot_size_for_Nifty_Next_50_options\"><\/span><strong>What is the current lot size for Nifty Next 50 options?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The Nifty Next 50 lot size is 25 units effective from January 2026, reduced from unchanged since 2024 revision. Always verify the current lot size on nseindia.com.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Is_the_long_strangle_Nifty_Next_50_suitable_for_beginners\"><\/span><strong>Is the long strangle Nifty Next 50 suitable for beginners?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><strong>Ans.<\/strong> The long strangle Nifty Next 50 has limited defined risk, making it relatively accessible, though understanding why a larger move is needed compared with a straddle is important before trading it.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Long strangle Nifty Next 50: setup guide covering payoff, breakeven, Greeks and when to use it for Nifty Next 50 monthly expiry 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