514A COMPleTe gUIde TO THe FUTUreS MArKeT
 tabLe 35.6d     profit/Loss Matrix for Short puts with Different Strike prices  
Dollar amount of premium received
$1,350
put
$1,300
put
$1,250
put
$1,200
put
$1,150
put
$1,100
put
$1,050
put
$15,410 $10,870 $6,870 $3,870 $1,990 $1,010 $510
position profit/Loss at expiration
Futures price at 
expiration ($/oz)
Long 
Futures 
at $1,200
In-the-
Money
at-the-
Money
Out-of-
the-Money
$1,350
put
$1,300
put a 
$1,250
put
$1,200
put a 
$1,150
put
$1,100
put a 
$1,050
put
1,000 –$20,000 –$19,590 –$19,130 –$18,130 –$16,130 –$13,010 –$8,990 –$4,490
1,050 –$15,000 –$14,590 –$14,130 –$13,130 –$11,130 –$8,010 –$3,990 $510
1,100 –$10,000 –$9,590 –$9,130 –$8,130 –$6,130 –$3,010 $1,010 $510
1,150 –$5,000 –$4,590 –$4,130 –$3,130 –$1,130 $1,990 $1,010 $510
1,200 $0 $410 $870 $1,870 $3,870 $1,990 $1,010 $510
1,250 $5,000 $5,410 $5,870 $6,870 $3,870 $1,990 $1,010 $510
1,300 $10,000 $10,410 $10,870 $6,870 $3,870 $1,990 $1,010 $510
1,350 $15,000 $15,410 $10,870 $6,870 $3,870 $1,990 $1,010 $510
1,400 $20,000 $15,410 $10,870 $6,870 $3,870 $1,990 $1,010 $510
 a  These puts are compared in Figure   35.6  d.   
Price of August gold futures at option expiration ($/oz)
Futures price at time
of position initiation
Long futures
At-the-money put
(strike price = $1,200)  
Out-of-the money
put (strike price
= $1,100)
In-the-money put
(strike price = $1,300)
Profit/loss at expiration ($)
1,000
10,000
15,000
−10,000
5,000
−5,000
0
−15,000
−20,000
1,050 1,100 1,150 1,200 1,250 1,300 1,350 1,400
    FIGURE   35.6d    Profi  t/loss Profi  le: long Futures and Short Put Comparisons (In-the-Money, 
At-the-Money, and Out-of-the-Money)