Played Iron Condor on Indian Options

[microsoftsapxi]

So here's my trade for those interested:

Sold 4600 June Put@ 25
Bought 4500 PUT@ 14 to hedge the short strike
Total net profit = 11 i.e 13 % on my investment if Nifty stays above 4600 till June


Also sold 5200 June call @ 53
Biught 5300 June call @ 28

Total net profit if Nifty stays below 5200


Word of caution,i am an experience option trader so i always hedge my bets and try to sell options which have high implied volatilities

 

[aditya14]

So here's my trade for those interested:

Sold 4600 June Call @ 25
Bought 4500 call @ 14 to hedge the short strike
Total net profit = 11 i.e 13 % on my investment if Nifty stays above 4600 till June


Also sold 5200 June call @ 53
Biught 5300 June call @ 28

Total net profit if Nifty stays below 5200


Word of caution,i am an experience option trader so i always hedge my bets and try to sell options which have high implied volatilities

when u calculate % return then include the margin blocked as well as that much capital has been freezed from ur account.

so add 40k(written calls margin approx maybe more not less) and ur return wud see real %

Iron Condor is not advised for current market conditions.

 

[MaxX]

So here's my trade for those interested:

Sold 4600 June Call @ 25
Bought 4500 call @ 14 to hedge the short strike
Total net profit = 11 i.e 13 % on my investment if Nifty stays above 4600 till June


Also sold 5200 June call @ 53
Biught 5300 June call @ 28

Total net profit if Nifty stays below 5200


Word of caution,i am an experience option trader so i always hedge my bets and try to sell options which have high implied volatilities

I guess you meant you sold 4600 puts (not calls) hedged with 4500 puts.. Iron condors have been working great in our market for the past year due to range bound movements.

 

[microsoftsapxi]

I think so Iron condor can be played easily in Nifty options since if u take index,either SPY or NIFTY you know probability of going 3 or 5% is very less compare to Stock.

The other thing regarding margin is calculateed like this

I sold 4600 put and bought 4500 put,Markt lot 50 i.e if i sell 1000 lots
the margin place in my account is 1000 * 100 - Credit Received =
1000 * 100 = 100000 - 11000 (Credit) =89000

So ROI = 11000/89000 * 100 = 12%

 

[aditya14]

i think so iron condor can be played easily in nifty options since if u take index,either spy or nifty you know probability of going 3 or 5% is very less compare to stock.

The other thing regarding margin is calculateed like this

i sold 4600 put and bought 4500 put,markt lot 50 i.e if i sell 1000 lots
the margin place in my account is 1000 * 100 - credit received =
1000 * 100 = 100000 - 11000 (credit) =89000

so roi = 11000/89000 * 100 = 12%

wtf!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

 

[microsoftsapxi]

I played another trade
Sold July 5400 Call
Bought July 5500 Call for Credit spread of 25 rs

 

[microsoftsapxi]

wtf!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Hey dude Whats ur problem
Mind it

 

[linkon7]

hedging with 4500 put is a bit extreme... 10 days left to expiry.. we need a correction of 10% to bring ur 4600 strike price ATM... that's a low probability...good return trade...

25 points, minus brokerage for 1 lot of NF as margin is relative good return in percentage terms.... you dont have to lower the profit by buying protection...that too at a level that's literally untouched for the past 32 weeks...

Profit of your trade is 25 - 2 (brokerage) = 23 x 50 (1 lot) = 1150 Rs for a margin blockage of 25 K... = 4.6%

 

[microsoftsapxi]

Hi

FOr all who might be interested

Sold 4600 JUNE Put at 56
Sold 4500 JUNE put 44
Max profit is 12 Rupees if Nifty stays above 4600
Trade made in June 1st week when Nifty was trading at 4900

Sold 5200 June Call at 53
Bought June 5300 call at 28
Max profit is 25 Rupees if Nifty stays below 5200
Trade made in June 1st week when Nifty was trading at 5000 something
Prob of 50% in the last days of nifty staying below 5200.


Sold 5400 July call 50
Bought 5500 July call 34
Max profit is 16 Rs if Nifty stays below 5400 by July expiriation

These are actual trades that i am holding.

Just want to help people learn option trading,not showcasing my talent

 

[abcpankaj]

I think so Iron condor can be played easily in Nifty options since if u take index,either SPY or NIFTY you know probability of going 3 or 5% is very less compare to Stock.

The other thing regarding margin is calculateed like this

I sold 4600 put and bought 4500 put,Markt lot 50 i.e if i sell 1000 lots
the margin place in my account is 1000 * 100 - Credit Received =
1000 * 100 = 100000 - 11000 (Credit) =89000

So ROI = 11000/89000 * 100 = 12%

If you are still around , may I ask which broker in India is accepting margin on spread , with this type of calculation.
Most of them charge full margin on Sold option , with some concessions thrown in for spread.
anyone else who knows broker charging lesser margin , is welcome to answer.

regards