hi,
i am in the learning phase of option trading
mostly i do short strangle
but i am at a loss about how to adjust the short strangle,when it is going into the loss
i have only one plan to adjust
whenever nifty reaches within 50 point range of my short pair's,top/bottom strike,i roll over my position to next higher strike of same month or next month
this approach keep my loss to minimum,but i am not satisfied
so would like to know,if i can use some other adjustment,better than what i use
here are my trades for this month
would like to know if these trades could have been managed better?
on 12 aug,initiated a short strangle of Aug 7800--7500 pair at a premium of 78,nifty was at 7660
14 aug,nifty at 7750
covered this pair at a profit of 12 points and shorted sep 7900==7500 pair at a premium of 136
18 aug nifty at 7850
closed the pair at a loss of 12 points and sold sep 8000==7600 pair at a premium of 121
proposed adjustment when nifty at 7950:
close this pair and short 8100==7700 pair
now this pair is running in a loss of 7 point..........
would really appreciate the suggestion of all experienced option traders to improve my knowledge further
thanks
i am in the learning phase of option trading
mostly i do short strangle
but i am at a loss about how to adjust the short strangle,when it is going into the loss
i have only one plan to adjust
whenever nifty reaches within 50 point range of my short pair's,top/bottom strike,i roll over my position to next higher strike of same month or next month
this approach keep my loss to minimum,but i am not satisfied
so would like to know,if i can use some other adjustment,better than what i use
here are my trades for this month
would like to know if these trades could have been managed better?
on 12 aug,initiated a short strangle of Aug 7800--7500 pair at a premium of 78,nifty was at 7660
14 aug,nifty at 7750
covered this pair at a profit of 12 points and shorted sep 7900==7500 pair at a premium of 136
18 aug nifty at 7850
closed the pair at a loss of 12 points and sold sep 8000==7600 pair at a premium of 121
proposed adjustment when nifty at 7950:
close this pair and short 8100==7700 pair
now this pair is running in a loss of 7 point..........
would really appreciate the suggestion of all experienced option traders to improve my knowledge further
thanks
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