Ask me anything about trading options and options strategies

Thnx sir for reply

Just one more question I am just graduated
I didn’t have any salary slip or past 6 months bank statement as I have recently opened my bank account
Now my query is for trading in f&o which document i should submit?
Can i fill nil itr?
Please help on this

Chosse far away option…

@siva will be the best person to answer this

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Hey @Prakhar_Agrawal
We have IVP (IV Percentile) now. Historical IV is something we can introduce. Will do the same. Meanwhile you can see it in graph format here. Sensibull - India’s Largest Options Trading Platform

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This is not the right thread for this question, you can ask your query here.

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which week Nifty/Banknifty option is better for intraday trading…Near week or next week or month end option,To my limited understanding i see near week options has less time value hence less decay during the day…I am trying to replace directional futures trade by naked options buying without any strategies…Need some advise…

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Hey @Sensibull

  1. We need IV chart for not only ATM but also strikes , also we need IVP along with it , so we know when options are priced higher or lower.

  2. Also why option chain showing only one IV , shouldn’t show for both call and put

  3. why nse IV is different from yours

  4. why are you skipping few expiries in middle , keep current and next 3 expiries even if its non-liquid ( one or two strikes are always liquid)

  5. What is the risk free interest rate and dividend used in your IV calculations.

https://sensibull.com/docs/mathsandmarkets.html

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Hey @vishnux ,

The concept of IV for non ATM strikes is a very flawed one.

For the rest, and our friend @Curious-Investor pointed out, please refer to:
https://sensibull.com/docs/mathsandmarkets.html

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Hey @profit
Near week, ITM options are the best to do this.

Your objective is to play direction. To do that you need to trade options with Delta close to 1, for call options and delta close to -1 for put options.

This is usually weekly in the money options of the current week. You need to keep Vega (effect of IV) and Theta (time value) close to Zero.

You can see Delta of options here - Sensibull - India’s Largest Options Trading Platform

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Hey sorry to say this single IV for call and put is really useless for scalpers like me , I scalp IV , I find skew by comparing call and put IV , yes PUT IV is always higher , but still.

When Call IV is greater , I enter only when my directional view is down … and also if I have doubt to choose which strike to sell obviously I gotta see which is over brought , which I see via IV , if you have single IV for both… It makes the point useless.

I dont know why u merged the IV , maybe be for positional users , I dont know… but for scalpers like me its really useless.

Also you told it will bring arbitrage oppurtunities , yes it does bring for intraday based on my past 6 month experience.

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Can you please shoot a mail on help at sensibull dot com. I would love to examine your point in detail and see the merit in this

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Sent you email,

Another thing is you plot IV based on futures , yes options follow futures price , but during expiry day it follows index at the end , example is IV shoots up or falls when index breaks the round numbers like 12000 , 12050 etc ,and not when futures breaks out from round numbers , so it would be nice to give options to user settings where they set plot IV based on futures or index.

On expiry days futures converges to spot. So it does not really matter, IMHO.

On a side note, IV increase is not really because of levels breaking (because that would happen only when levels break downside). IV increase is because of the skew coming into play. Just my $.02

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Doesn’t short covering or put unwinding cause premiums to increase which in turn results in increase of IV.

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@Prakhar_Agrawal

On expiry day, if we look at IVs as IVs then it is very misleading. When Vega is a small number, any increase in premium will translate to a huge jump in IV

You can play with this calculator and see for yourself with days to expiry as a fraction
http://option-price.com/

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I am talking about weekly expiry

please share profitable strategy with best risk reward for banknifty options.

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@Sensibull does sensibull has iv rank features.if yes then where to find it.