I am a Thursday guy . I do Bank Nifty intraday trading using Zerodha account using MIS. With Zerodha I can sell 1 lot of banknifty with approximate 24k ( I am option writer never a buyer ) . I do trading with 50+ lots on every thursday. Can we get to trade same with 8-10k as a margin ? I am addicted to Zerodha GUI and I am happy with Zerodha platform. So cannot use other discount brokers to avail low margin trading facility. Is there any chance we can avail same facility for us from Zerodha ?
Don’t mind me answering this.
24K ~ 600BankNifty points
8K ~ 200BankNifty points.
On any BankNifty expiry day, 200 BankNifty points movement in a flash is highly probable. So, expecting Risk margin for tht is crazy!
Why do you feel its a crazy thing ?. I am not asking anything new here. Its given by other brokers so asking whether its possible to avail this facility in Zerodha . I know atleast 8 broking firms who provide BN for intraday between 8-16k per lot.
I am experiment with bank nifty weekly options for a while now , in my experience writing options on wednesdays and thursdays is a big NO .
Other days iron condor seems to be working but need to shell out huge money for the bid-ask spread alone if we are doing it in bulk.
BO/CO which provides higher leverage but which requires a compulsory stoploss is blocked for BN options because of broker-level OI violation. MIS is the best available margin trade for shorting BN options.
So u r risking around 12L for gaining 10 - 20 rs or upto 30 - 50 rs. depending upon OTM , ATM .
Your profit = 20K - 40K on average if u are playing safe.
But nothing is safe in markets & when it comes to options, risk is high and when it comes to expiry day , risk is extremely high.
You are risking 12L capital for gaining marginal profit by trying to cover 20 - 30 points.
Very risky strategy, risk to reward ratio is not favourable. One sudden move can sweep away half of your capital in no time. Putting SL maynot always help. Because volatility can be very high & you may see your SL getting triggered & later your contract coming in profit but your position already got closed in loss.
If u avoid SL or keep big SL, again very high risk because what if underlying doesn’t returns back in your favourable condition.
. I do Bank Nifty intraday trading using Zerodha account using MIS. With Zerodha I can sell 1 lot of banknifty with approximate 24k ( I am option writer never a buyer ) . I do trading with 50+ lots on every thursday. Can we get to trade same with 8-10k as a margin ? I am addicted to Zerodha GUI and I am happy with Zerodha platform. So cannot use other discount brokers to avail low margin trading facility. Is there any chance we can avail same facility for us from Zerodha ?