I am trading in options for past 4 months.
Intially, i started buying options in 1 or 2 lot Quantity(Trading capital = 30 to 50 k).
Now ,i increased to 16 lot Quantity(Trading Capital =1.6 Lakh). I buy options with minimum 7 to 10 days left to expiry day.But Today i OverTraded with 60 Lot (16 lot +16 lot+28 lot) and end the day with ₹ 14600 k profit.But one Trade had ₹ 11 k profit .Other Trade were small profits,i exit the Trade due to Fear of loss.
I trade only in Nifty 50 options.
Can Anyone share there experience about lot size and Trading Capital, Expected Return on Investment (ROI) percentage .
My Expected ROI is 5 % or minimum 1 or
2k per day
My Actual Returns
May = ₹ +500
June = ₹ - 9800
July = ₹ -12800
August = ₹ +9700
September = ₹ +17800
Since you are trading for last 4 months, i hope you should have the knowledge of itm otm atm. And how to select the strike price to buy
5% per day roi is to high with that roi you will end the year with 1440%.which will come 23 lacs if you start with 1.6lacs.
Next year that 23 lacs will become 3.31 cr. But the market does not work that way.
Option buying is very risky, it has the capability to make your capital zero within one day. You should plan your risk per trade accordingly.
But to be practical roi anywhere between 30 to 40% is considered decent in trading. They are traders in the market who double their capital within 7 to 8 month or year but they are in the market for long time.
You are expecting too much from the market. Market is not an easy money place.
You should be realistic with you expectation from the market. You should hope and plan for 1% a week roi. And try to maintain that roi for a year.
Thanks for the suggestion