A payoff curve serves as a visual depiction illustrating the potential results and associated payouts derived from a specific strategy. It showcases the profit and loss (P&L) outcomes across various potential underlying price movements, typically focusing on the scenario at the strategy's expiry. The underlying price is mapped on the X-axis, while the Y-axis represents the potential profit or loss. Analysing these curves enables the identification of crucial strategy elements like the breakeven point, maximum P&L, options premium, and other essential insights that aid in understanding the strategy's performance.The interactive payoff graphs provided by uTrade Algos dynamically consider factors such as the underlying asset's price, options contract implied volatility, and selected contract expiry. These graphs offer real-time insights into potential profit or loss concerning your trading positions. Our commitment to enhancing algo trading accessibility is evident in the additional features that bolster the effectiveness and user-friendliness of our payoff curves.
- Options Chain: The options chain feature enables the swift addition of legs to your strategies with a single click. This function integrates essential data like open interest and last traded price (LTP) for each respective contract, simplifying the process significantly.
- Combined Payoff: uTrade Algos also offers the ability to view combined payoff curves for multiple strategies. This feature provides a comprehensive outlook on potential profit and loss, allowing users to analyse and comprehend the combined impact of various strategies seamlessly.