---
title: "Long Strangle — options strategy"
type: "options-strategy"
topic: "Options strategies (Indian markets)"
category: "Volatility"
outlook: "Big move expected"
complexity: "intermediate"
risk: "defined"
slug: "long-strangle"
url: "https://learn-derivatives.tapetide.com/strategies/long-strangle"
markdown_url: "https://learn-derivatives.tapetide.com/strategies/long-strangle.md"
source: "DeltaDesk by Tapetide"
---

# Long Strangle

> **In plain English:** A cheaper long straddle. You buy an out-of-the-money call and put, so it costs less — but the price has to move further before you profit. A bet on a really big move.

**Category:** Volatility · **Market view:** Big move expected · **Complexity:** intermediate · **Risk:** Defined

## Structure

- Buy ATM+2 strikes call
- Buy ATM-2 strikes put

## Summary

Buy an OTM call and OTM put — cheaper than a straddle, but needs a bigger move.

## When to use it

Expecting a very large move; cheaper premium than a straddle but with wider breakevens.

## Profit & loss

- **Max profit:** Unlimited.
- **Max loss:** Total premium paid.

## Net Greeks profile

Long gamma and vega, negative theta.

## Margin

Light (net debit paid).

## Common mistakes

- Strikes too far OTM so the price never reaches breakeven.

## India example

Buy an OTM NIFTY strangle ahead of election results when IV is low.

---

**Build it live in the [DeltaDesk Strategy Lab](https://learn-derivatives.tapetide.com/tools/strategy-lab)** — tune strikes and see payoff + net Greeks update instantly.

*Educational content only — nothing here is investment advice. Derivatives carry significant risk of loss. Tapetide is not a SEBI-registered research analyst or investment adviser.*