Can someone explain how exactly did I make profit on the following trade?

#1
I traded a delta neutral short strangle in Nifty on Thursday at 10am, (Spot price at 10am=8950) and in the beginning of the trade, Theta value was Rs. 1675 and Vega value was - Rs433. At 2pm, I closed the trade for a profit of Rs. 2200, which is obviously more than the initial theta value. Apart from theta value, what else contributed to my profit? I'm guessing it could be the drop in IV (IV dropped from 46.2 on the previous day to 45.02 on that day) but just wanted to confirm.
 

mohan.sic

Well-Known Member
#2
I traded a delta neutral short strangle in Nifty on Thursday at 10am, (Spot price at 10am=8950) and in the beginning of the trade, Theta value was Rs. 1675 and Vega value was - Rs433. At 2pm, I closed the trade for a profit of Rs. 2200, which is obviously more than the initial theta value. Apart from theta value, what else contributed to my profit? I'm guessing it could be the drop in IV (IV dropped from 46.2 on the previous day to 45.02 on that day) but just wanted to confirm.
You can ask the same in simple language by giving - trade strikes of strangle /expiry/entry and exit prices...
 

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