i still have few more strategies in my mind , once everything is tested , i will go back to putting my profits for some useful things
in jan i made arnd 1.5L ( risk free ) … decided to gamble on budget and bought options for 12L ( 2L stoploss and all are long straddles on stocks ) …
was showing 1.2L loss , but next day when i saw some green i booked all … if i kept it for another couple of days , i might have got 20/25L ( but i would have considered it as pure luck if i made that much )
buying stock options has potential considering the premiums wont depreciate that much
directly jumping into options is not a good idea , but you already did
i suggest to write options as well and if you keep doing it you will learn…
like if you are bullish and want to buy calls … when you are buying 10800 call , sell 10000 call … in the long run it helps to minimise the loss when you are wrong ( and you will learn to trade slwoly )
premiums went down by 10% as i expected , but my picks didnt move anywhere
bought tata motors heavily , usually auto moves heavily and i thought its movement outweight vega loss…
tata motors didnt move an inch , but my other candidate m&m moved 5% which was not liquid
bought aurophrama and lupin , thought both wont lose premium much before the results …
learning is , nifty and bank nifty monthly lost 30/40% of the premiums … but stock options lost 5 to 15% …
probably next time will go long on stocks and short on index options
Yes it is correct definition of vix . but it does not having any effects on nifty, now days because of manipulation. nifty after opening behaves like a tortoise just to make an impression that our market is stable.
Vix cover all the stocks in India not only nifty .but its effect on option premium giving the retailer money a slow death.
Its my personal view that even vix is also being manipulated…by bigiees .
Well, that’s the usual trend these days, most global markets seem to move in sync, except when there are any overwhelming local factors in individual markets.
This is tad incorrect. VIX value is calculated solely on the basis of Nifty Options of current month and next month. Here is the exact definition of VIX from NSE’s whitepaper:
“India VIX is a volatility index computed by NSE based on the order book of NIFTY Options. For this, the best bid-ask quotes of near and next-month NIFTY options contracts which are traded on the F&O segment of NSE are used. India VIX indicates the investor’s perception of the market’s volatility in the near term i.e. it depicts the expected market volatility over the next 30 calendar days. Higher the India VIX values, higher the expected volatility and viceversa.”
Any trade sentiments for Tomorrow.
Tomorrow planning to take someplace order in NIFTY and BANKNIFTY. So maybe your all views will help me to decide some aspects in advance.
I am also waiting for tomorrow to check how and when I can take new positional trades into NIFTY and BANK NIFTY with 2 lots in each and with limit profits…