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3 Option Strategies Tested Here

Discuss 3 Option Strategies Tested Here at the Options within the Traderji.com - Discussion forum for Stocks Commodities & Forex; 27-june2008 10-10a.m. 4161--202+181--153+140--261+227 PROFIT/LOSS OF THE 3 STRATEGIES GIVEN BELOW STRADDLE-(202+181)-371=+12 STRANGLE-(153+140)-297=-4 GUTS-(261+227)-486=+2...


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  #11  
Old 27th June 2008, 10:17 AM
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Default Re: 3 Option Strategies Tested Here

27-june2008 10-10a.m.

4161--202+181--153+140--261+227

PROFIT/LOSS OF THE 3 STRATEGIES GIVEN BELOW

STRADDLE-(202+181)-371=+12

STRANGLE-(153+140)-297=-4

GUTS-(261+227)-486=+2

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  #12  
Old 27th June 2008, 11:17 AM
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Default Re: 3 Option Strategies Tested Here

Quote:
Originally Posted by gunavadhi View Post
seniors please tell me when i post anything wrong

There are 3 simple option strategies.Straddle,Strangle and Gut.

1.Straddle, is a volatile option strategy or what we call Market Neutral Strategy. Being market neutral means that a Long Straddle profits no matter if the underlying asset goes up or down. Yes, a Long Straddle allows you to simply put on the position and then totally take your mind off the stock as you will profit no matter if the underlying asset goes up or down.(ex:when nifty is around 4100 buying 1 lot 4100 call and 1 lot 4100put)

The basic assumption is wrong. for a long straddle to make money, the mkt has to move a lot, but you do not know which direction it will be.

Vol -> +++ Directon -> +++ OR ---

To make money when mkt is neutral, WRITE or SELL straddle. Of course beware of the risks of any strategy.

Vol -> --- Direction -> +-

Last edited by beginner_av; 27th June 2008 at 11:24 AM.
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  #13  
Old 27th June 2008, 11:39 AM
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Default Re: 3 Option Strategies Tested Here

26-june2008 11-34a.m.

4136--184+192--137+150--237+242

PROFIT/LOSS OF THE 3 STRATEGIES GIVEN BELOW

STRADDLE-(184+192)-371=+5

STRANGLE-(137+150)-297=-10

GUTS-(237+242)-486=-7
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  #14  
Old 27th June 2008, 01:52 PM
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Default Re: 3 Option Strategies Tested Here

Nice thread. Will keep an eye on this.
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  #15  
Old 27th June 2008, 04:23 PM
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Default Re: 3 Option Strategies Tested Here

26-june2008 3.30p.m.

4136--171+195--125+153--225+248

PROFIT/LOSS OF THE 3 STRATEGIES GIVEN BELOW

STRADDLE-(171+195)-371=-5

STRANGLE-(125+153)-297=-19

GUTS-(225+248)-486=-13
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  #16  
Old 3rd July 2008, 01:29 PM
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Default Re: 3 Option Strategies Tested Here

3-july2008 1-20a.m.

3883--76+342--51+277--106+415

PROFIT/LOSS OF THE 3 STRATEGIES GIVEN BELOW

STRADDLE-(76+342)-371=+47

STRANGLE-(51+277)-297=-+31

GUTS-(106+415)-486=+35
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  #17  
Old 10th July 2008, 08:38 AM
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Default Re: 3 Option Strategies Tested Here

great thread gunavadhi. thanks a lot
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  #18  
Old 10th July 2008, 08:13 PM
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Default Re: 3 Option Strategies Tested Here

Will these trades are squared off when it profit or is the strategy is to wait till expiry ?

Naresh
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  #19  
Old 10th July 2008, 08:22 PM
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Default Re: 3 Option Strategies Tested Here

Quote:
Originally Posted by nareshch View Post
Will these trades are squared off when it profit or is the strategy is to wait till expiry ?

Naresh
I do not see any profit in these strategies until unless there is a wild one way move . Break Even for Strategy1 Is Either nifty above 4471 or below 3729 and alsmot same for other strategies .

Am i understanding these strategies correctly ????????????????


Naresh
Attached Files
File Type: xls option strategies.xls (16.5 KB, 76 views)
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  #20  
Old 11th July 2008, 08:31 AM
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Default Re: 3 Option Strategies Tested Here

Hi Nareshch

You are right, It should move some where + or – else Call or Put value start getting reduce because of time period

I feel good points are more in this strategy
1) You don’t need to monitor continually
2) You can buy more quantity
3) Less risk

There is no strategy is made where only profit happens ……. If available please let me know I am searching for last 4 years



@ gunavadhi

Thanks for sharing strategy with us

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