Backtested option strategies(short iron condor, short iron butterfly) and popular strategies using the OPSTRA website…Strategies that look good to study in varsity or in google failed to make money in reality
Except for short straddle and strangle(weekly series) giving a good return for 1 year but failed when tested for 5 years, not even an FD returns.
Almost all strategies failed for 5 years period…unless there are adjustments in the strategies
It seems that you have finally learned how market works.
This is the truth.
But this is not the end. Market is harsh doesn’t means you cannot make money. It just means you need to improvise your strategies. I suggest you to watch Webinar for Charity by PR Sundar (Its available for free). He has very well explained why so many people fail to make money in market.
Option sell strategies like the ones you mentioned needs adjustments and firefighting both of which need skill and extra capital. Its not as rosy as it is often painted by youtube gurus lately - https://www.t7wealth.com/beware-option-sellers
Dude, if one needs to make money in the market, it is so necessary to research and understand what moves the market… I repeat, you need to find the reasons which are moving particular asset/sector/stock. Once you notice the fundamental triggers that are moving the market, you will notice those patterns (not technical patterns) repeating every week or days.
Without prior analysis of knowing what could move markets, that particualr individuals who deploys these hopeful strategies doesnt have any idea what happens further and waits for stop loss to hit or time to move on. And ends up wasting PRECIOUS TIME. Its obviously necessary to learn what influences the market . Technical strategies are secondary or tertiary. Just opinion.
No strategy would work for you if you don’t understand what is happening in the market. This is what you analyse the markets for. You have to predict the next market movements and customise strategies in accordance with that. There is no single strategy that works in all trading conditions.
It’s not easy to build a strategy that works accurately in all situations. You will have to analyse the market every time you plan to trade and if needed, make changes to it. If you don’t update with time, the market will easily eliminate you.
Bro you need to do front test not back test . hide the chart then look at the past data then analysis and predict what can happen next , set target and SL and then go forward with available data , check with minimum 3 years of data and you will know in different market different things work and when that same market condition arrives again it starts to work.
Market is volatile, so try to make your own strategies and make them flexible because sometimes you’ll notice the market is not moving in your favour. At that point, you will have to make some instant changes.
To overcome such a volatile situation, it is necessary to constantly monitor the market.
hai guys , i am 12 + years trading in option market, i am making 50% return every year , the same profit i invest in bankbees , nifty bees and juniour bees etf - every month
if you backtest the option strategy - every thing will show awesome profit - yes correct its will not come in reality -
i also go through these algo execution option strategy for one year - whatever shows in back test or not same - i am quit algo also
i am believe manual trading i am happy - i am just using one strategy , that is iron condor with adjustment - because i am full time option trader - and i will do weekly option selling also far away in call option - these two thing only working perfectly - but for adjustment you need good capital to come out with out loss -
i have 1 crore + capital - so i always ready for firefighting in option selling
Mind it fire fighting work only in option selling - fire burning only happen in option buying
Guys assume exception from market per month 3.5% permonth and 7 % from debt and money market
yearly we can achieve 50% without any tension , i am not intrested in intraday trading
intraday trading is really injury to wealth because TAX and brokerage most of the profit will be eaten
i am maximum 20 transtation in option sellling - every month profit is 3 lakhs - brokerage and tax will be 6 k plus thats all
always try to make profit in less transtation otherwise goverment will take all your money through tax like
GST,CGST,SGCT, Exchange transtation charge , SEBI turn over , brokergae, (optional- Clearing charges ) for every trade