dont buy out the money options

[satishp]

Guys Im a hardcore trader. I lost heavily in options. I tried various options like buying call and put together. Even then there is no luck after a couple of days I found losing in both sides. I found some of comments from fire_gun, tomdickharry... are really useful. At some point I agree with Tomdickharry instead of buy, sell both call and put but little bit worried about the unlimited risk at one side. Can anyone give me expert opinion on selling on both sides and worst scenarios and exit point.

 

[tomdickharry]

well,
one should have sold 4200 and 4600 calls when this thread was started no matter july or august. you would have gained in both cases.
you must consider n worry about unlimited risk only when fII turnover is great.
now a days it is barely minimum. and ofcourse u have the chance of getting one side premiun for sure. withought taking risk there r no gains in any business.
but u need to estimate correctly. if anyone had shorted these calls as per my call they should cover them now at least 4600 call. you may keep 4200 put.