Lost 25 lacs in banknifty option trading

I knew how to convert 40k to 1.5cr why’d I give fuck about about anyone…I tried his method & I failed that’s it
but if you wanna try go on

GB26 has already shared the reference material

You think it is easy to stop of after that kind of stellar performance.

Chill man relax. why hyper. have a kit kat

i have been observing this. you are right

Leave it man. I kinda figured out what OP is actually referring to. I tested BN way back. BN moves wildly and lot, average of 400 pips these days. Assuming delta is 0.4 , I take option premium moves 160 pips a day.

So with 1.5L , current ATM position costs 350( just referenced 8th Dec).

I lot = 25 units

Assuming option premium just slinks around 350

Max lots that can be taken = 17 lots ( 350 option premium * 17 lots *25 lot size )

Total units = 17 lots * 25 lot size = 425 units

So he needs 5886 pip movement , option premium movement to turn 1 L → 25 L.

Assuming if one can capture a minimum of 100 option premium pips . 5886 /100 pips per trading day = 60 days. I guess his original question was if he went this way, can he recover way fast and will this work?

Note:- I assume option buying to trade on its premium intra day not over night positions till expiry. Things change a lot as each day theta eats away pips.

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Technically, only breakeven!

I hope this helps OP, you sure have given so much to understand for me :grin:

On a totally different note, the only way to reach 25lakh limit in 2 to 3 months is to start with 1crore capital. :mask:

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I remember the joke.

A - So your wife made you a millionaire.

B - Yes.

A - Wow.

B - I was a billionaire before.

:grin:

Could prove to be equally challenging! You may accidentally get lucky on a few trades and may not be able to make losses as expected.

FnO I don’t know, but in equity segment I think we can get losses, there will be lot of stocks going around which have no value, and are pumped and dumped :grin:

Yes. Although with no expiration, prices may be inflated for more than 2-3 months. In which case, mission failed!

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Right.

So for those who want to make money, money is taken from them, for those who want to throw it away, they get even more :grin:

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The way of the world, my friend.

Not exactly the way of the world, but that’s how luck or bad luck works.

So one should expect to lose, and see gain, rather than expecting gain and lose :grin:

Well, ideally you try to work with something with a positive edge and create a large number of occurrences. Obsessing over winning/losing in any one trade will get you nowhere.

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Excluding the natural edges that one may have, to get an edge, one has to be obsessive. Ordinary efforts lead to ordinary results, just saying :grin:

:cloud_with_rain: does not make :fire:, :volcano: does :grin:

Just buy OTM options. Simple. You won’t fail.

Mission being loss, so OTM buy will result in losses, is this what you are saying? :thinking:

Doing it consistently over a period of 2 months will definitely give your rewards. :grimacing::grimacing:

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You can’t become a profitable trader without knowing where to invest you obsession.
(Obsessing over finding positive expectancy > obsessing over every individual trade)

Consistently buying otm options definitely will lose money in the long run.

This may not be the case for the next 2-3 months. If volatility expands, the poor fellow may end up with a profit.