@vishnux i will never book lose i have an adjustment plan with me . and different kind of tools ,i know how i want to do , its all hedged position , where ever stock can go no problem, if tata motors can go down to 50 rs no problem
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That is awesome , can you do what will u do incase if gapdown tomorrow , do you have PE buy already ?
hai vishnu i explained already hedged every thing no need to worry , if i am not hedged my credit worth will be 2 lakhs after i hedged every thing igot 87K
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dont increase lot size test till when the maximum loss you are facing untill you want to be in testing only , now market is stable ,we need to see in high volatile days also so wait for that day see the loss how much is that , after words we can come to final decision
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Actually this strategy is for volatile market , + or - 300 points will give good profit.(till certain limit) have to exit quick at some threshold levels.
But today market was very flat , so less profit.
ok good let run for one month and then increase the lot size
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Hi,
How much capital required for this strategy
ok good
Hey @Gautam , its around 8 lakhs …
I have certain bots to enter and exit trades without slippages …and always active on screen… if u are just starting with option writing… start with banknifty 1 lot , 500 to 600 points away next week or month contract.
if you are in net profit for 1 week , start with 2 lot on 2nd week. Keep strict SL-M orders as soon as entering position.
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this 1 and half month made profit of 2 lakhs + still pending to close this month profit aroud 80k plus total two month profit will bring around 3.8 laks , this years target keeped 20 lakhs ,
last year achieved target of 18 lakhs , through confident going forward
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guys january month market will rise and fall we expect more volatile to come , we need to deployed volatile strategy to reap big profit , because of budget
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How can one avoid slippages buying OTM options worth 5-6 Lakhs or more? Due to a large lot size, slippages happen. SInce I scalp and often I trade along the momentum if I place multiple orders for limit order below the LTP, there is a big chance my orders don’t get filled. SImilarly for sell side.
Step 1 : I find trend first up , down or neutral and I choose which strikes based on my custom option chain table , I find which is overvalued , open interest etc using this , mostly you cannot understand this
Step 2 : I place order on my custom coded tool, It shows graphical history of market depth.Looks something like below.I place orders looking at this and my custom tool (attached at bottom) and I can place orders in a click with confirmation.(few microseconds)
circles are offers and triangles are bids… black line is price. Above pic is low liquidity option , below is high liquidity option.
To avoid slippage , I use custom tool to detect top / bottom , I sell CE at top , PE at bottom.
Above tool detects tops and bottoms in nifty and banknifty , when the price is going high and If i see lots of red signals , I sell CE.and vice versa.
And thats it , mostly I will be in 3 to 4 points profit as soon as I enter in a pair (selling CE and PE ) … and I wait for time decay . And I use same tools to exit positions when my levels are broken.
Step 3 : My levels will be in Index / Futures of nifty / banknifty or heavy weight underlyings , So I just watch the tradingview screen after placing orders.
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You won’t find such options. HFTs and big institutions find those opportunities way before. you. Retailers with low computing speed technology are no match for them in executing those arbitrage.
Even if you find such pricing, brokerage and other Taxes will make your trade go in negative if you just want to arbitrage. Such trades can only with large sum of money and low charges.
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all lot size are increased in january , value of 1 lot is coming 8 laks in f&o
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Haha, yupe it will look like Greeks and Latin for others, but am used to it.
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