Bear put spread on Nifty 50
Buy a put and sell a lower-strike put with the same expiry. A cheaper way to take a falling view than a single put, with capped gains. Shown per lot of 65 with illustrative numbers.
Contract basics. Nifty 50 lot size: 65. Nifty 50 has weekly options expiring every Tuesday, so this example uses 7 days to expiry. Strikes in this example are rounded to the 50-point strike interval.
A structure for a view that the index will fall moderately by expiry, with a known maximum loss.
| Leg | Premium per unit | Cash flow |
|---|---|---|
| Buy 1 lot 25,000 PE | ₹178.07 | −₹11,575 |
| Sell 1 lot 24,500 PE | ₹32.49 | +₹2,112 |
Profit and loss at expiry
For the whole position, before charges.
Premiums are theoretical Black–Scholes values from round, illustrative inputs, not market prices. Charges and margin are not included.Price a single leg with your own numbers.
Frequently asked questions
What is the maximum loss of a bear put spread on Nifty 50?
In this illustrative example, ₹9,462 per set of legs (lot size 65), before charges.
What is the lot size of Nifty 50 options?
65 units per lot at the time of writing. Lot sizes are revised by the exchange from time to time; check the current size before trading.
When do Nifty 50 options expire?
Nifty 50 has weekly options expiring every Tuesday, so this example uses 7 days to expiry.
What is the maximum loss on a bear put spread?
The net premium paid plus charges, if the index ends at or above the higher strike.
How is a bear put spread different from buying a put?
It costs less and has a lower break-even move, but the profit stops growing below the lower strike.