This pattern keeps repeating again and again - for the far off months, either put or call has the upper hand. right now, spot around 6050, december 6000 call are at 750 and 6000 put is less than 400. Which do u think is cheaper, and how can u take advantage of it?
if u buy the dec 6000pe, and sell the feb or march 6000 put, u will have a very cheap december put in hand when the near month expires (hopefully OTM). or buy december put and sell june put, and u have a chance to own a naked dec put for ₹80, from July to December, with max loss ₹80. :thumb:
this skew is because future premium/discount increases month on month. so for a theoretical december future's value will be very far from spot.
I had tried this theory earlier also, but got bored of it.... :rofl: