Ask me anything about trading options and options strategies

[Sensibull]

@Curious-Investor

It might be. It doesn’t cost them anything. Anyways, for free version, updation is not instant unlike pro.
Also, option chain data is easily available on net. It’s not Sensibull USP. Though Sensibull has other better data and tools

Free version data also has real time update. You just need to login with Zerodha.

[nishant_abraham]

Hi there… Just recently found about all this and its very very fascinating!
Really stupid question here but How much capital is required to begin options trading and strategy. I understand certain strategies involving multiple legs to secure ones investment and get a high POP can involve lakhs of capital required. What do you feel that number is to begin with?
Also What currently available trading brokers would you recommend to use with sensibull to keep costs low and maintain a good strategy week in and week out.

Thanks
Nishant Koshy

[R_Gh]

Thankyou

[R_Gh]

Thakyou

[Ramachandram_Swargam]

Hi Abid, I’m a paid member of Sensibull. I use Vertical trading for my daily paper trading. I’m looking for Stop Loss feature in your Virtual Trading. This way I can better predict profits and losses with given stoploss.

I’ve emailed before to support team on this.
Could you please bring SL feature in Virtual Trading.
Many Thanks,
Ramachandram

[Sensibull]

Hey,

This is one of those high pri items we have in our system. We will do that soon.

Regards,
Abid

[Rakesh_jhunjhunwala]

This Actually help, you guys should make one video on listed parameters to be checked on Intra-day trading / Swing trading. please make one nah. I have seen on video by Abid on choosing a option trade, some 7 listed points, something similar one

[Kaushal_Thakkar]

Hi Abid,

One of the important aspect of option selling is creating huge number of occurances so that probabilities (POP) works out as per your expectations. How do you propose to create high number of occurances considering :

1. Low iv
2. High margin requirements for hedged positions
3. Exposure margin on top of SPAN, which if I’m not wrong already covers 99.4% of scenarios

I know regulators are taking care of point 2, but is it enough? Ideally max loss should only be margin booked. Please elaborate your thoughts on this. Thanks

[Kaushal_Thakkar]

4. Illiquidity in most stock options
5. Iliquidity in next month options not giving opportunity to roll
6. Lack of un-correlated products for an example options on commodities, fixed income etfs, etc. Giving diversification benefits

[Sensibull]

@nishant_abraham

Hi there… Just recently found about all this and its very very fascinating!
Really stupid question here but How much capital is required to begin options trading and strategy. I understand certain strategies involving multiple legs to secure ones investment and get a high POP can involve lakhs of capital required. What do you feel that number is to begin with?
Also What currently available trading brokers would you recommend to use with sensibull to keep costs low and maintain a good strategy week in and week out.

Thanks
Nishant Koshy

Hey Nishant,

No question is bad. We all begin somewhere.

The answer to this is:

Currently the margins are high for pretty much everything in equity and equity indices. This should go down in if SEBI lowers margins.

To trade with very low capital you can try dollar. It is only around 2000 Rs per lot. Small bet, small margin, small losses

I have to give a neutral answer to the question what is the best broker for Sensibull, so I cannot say what is the best broker. But we started with Zerodha, we have the longest stable tech & relationship with Zerodha. Baaki bas Shraddha hain (it is a matter of your devotion )

[Sensibull]

@Rakesh_jhunjhunwala

This Actually help, you guys should make one video on listed parameters to be checked on Intra-day trading / Swing trading. please make one nah. I have seen on video by Abid on choosing a option trade, some 7 listed points, something similar one

Will do in Zerodha next week or the week after that

[Sensibull]

@Kaushal_Thakkar

Hi Abid,

One of the important aspect of option selling is creating huge number of occurances so that probabilities (POP) works out as per your expectations. How do you propose to create high number of occurances considering :

1. Low iv
2. High margin requirements for hedged positions
3. Exposure margin on top of SPAN, which if I’m not wrong already covers 99.4% of scenarios

I know regulators are taking care of point 2, but is it enough? Ideally max loss should only be margin booked. Please elaborate your thoughts on this. Thanks

Hey Kaushal,
What is the meaning of occurences here?

[Kaushal_Thakkar]

I meant number of trades as probability would work out if you create enough number of trades

[Kaushal_Thakkar]

@Sensibull

4. Illiquidity in most stock options
5. Iliquidity in next month options not giving opportunity to roll
6. Lack of un-correlated products for an example options on commodities, fixed income etfs, etc. Giving diversification benefits

[Rakesh_jhunjhunwala]

Genius ur guys are.

[kailash_dave]

Considering present market, what should be overnight position short strangle or short straddle in NF

[Sujeet_Bhandiwad]

Hello… I’m fan of your platform…
I need to know is there strategy to adjust short strangle or short straddle

[Ashish_Krishna_K]

Hi,

I do not have any knowledge about options, but I am still curious, so I have a couple of questions.

1. Is it advisable to allow index options expire without squaring it off(since there is no question of physical settlement with Index options)? If yes, can I sell Deep OTM options of weekly expiry Bank Nifty options on the day of expiry and make money?

2. Is it possible to build an options strategy that is both delta neutral and is also immune to theta decay?

[Sharmarohit]

From my experience I have learnt only one thing as far as options are concerned
Theta decay is friend of option seller and enemy of option buyer

[Ashish_Krishna_K]

and that’s exactly why I am looking at ways to make it neutral territory