Escape's Options Trading Diary - Strategy Based (Phase 1)

[DanPickUp]

Current Status:

1) Long Nifty Dec 5900 CE on Oct 31 @ 39.00, CMP 28.10
2) Long Nifty Dec 5400 PE on Oct 31 @ 45.35, CMP 25.80
3) Short Nifty Dec 6100 CE on Nov 5 @ 18.00, Closed today @ 24.95 (loss of 6.95)

Although I planned to short Dec 5500 PE today, but as market went down, kept this on hold. I will take call tomorrow.

There was some Internet Connection issue for last few days, finally today it got issues.

Dear Escape

Just a hint: Check the price of the 5500 Dec put and check the price of the 5800 Dec call. If you sell them (Short strangle), you will get Rs 96.30 (at the time this post was made) in your pocket. Now think about your risk you would have with that and about how much money you paid for the long strangle.

http://i45.tinypic.com/2pq48lh.png

Good trading

DanPickUp

Edit: Not sure if you will get the idea, but you then would have a long Iron Condor with absolute limited risk. Your loss you face for the moment would be more then leveled when market will stay in the range and if market moves to any break even point on each side, you still could act. Range for the market would be around 5450 and 5750 with the four legs you would have.

 

[escape]

Dear Escape

Just a hint: Check the price of the 5500 Dec put and check the price of the 5800 Dec call. If you sell them (Short strangle), you will get Rs 96.30 (at the time this post was made) in your pocket. Now think about your risk you would have with that and about how much money you paid for the long strangle.

http://i45.tinypic.com/2pq48lh.png

Good trading

DanPickUp

Edit: Not sure if you will get the idea, but you then would have a long Iron Condor with absolute limited risk. Your loss you face for the moment would be more then leveled when market will stay in the range and if market moves to any break even point on each side, you still could act. Range for the market would be around 5450 and 5750 with the four legs you would have.

Dear Dan,

Yes, I can see. I have added this in OptionsOracle along with my previous long trades and can see result. It would be profitable if market stays in current range (between 5500 and 5800 as per graph). And because of long Calls we already have, my risk is limited.

I'll take decision on this tomorrow and may go shorting this.

Thank you again for this suggestion.

Regards,
Escape

 

[escape]

Current Status:

1) Long Nifty Dec 5900 CE on Oct 31 @ 39.00, CMP 15.85
2) Long Nifty Dec 5400 PE on Oct 31 @ 45.35, CMP 41.55
3) Short Nifty Dec 6100 CE on Nov 5 @ 18.00, Closed today @ 24.95 (loss of 6.95)
4) Short Nifty Dec 5800 CE on Nov 16 @ 53.90, CMP 32.25
5) Short Nifty Dec 5500 PE on Nov 16 @ 43.90, CMP 67.30

As advised by Dan and for weekend protection, today I shorted two positions.

 

[DanPickUp]

Current Status:

1) Long Nifty Dec 5900 CE on Oct 31 @ 39.00, CMP 15.85
2) Long Nifty Dec 5400 PE on Oct 31 @ 45.35, CMP 41.55
3) Short Nifty Dec 6100 CE on Nov 5 @ 18.00, Closed today @ 24.95 (loss of 6.95)
4) Short Nifty Dec 5800 CE on Oct 31 @ 53.90, CMP 32.25
5) Short Nifty Dec 5500 PE on Oct 31 @ 43.90, CMP 67.30

As advised by Dan and for weekend protection, today I shorted two positions.

Did not know that today is 31 on Oct

 

[escape]

Did not know that today is 31 on Oct

That's Cut N Paste side effect . Rectified. Thank you for notifying.

 

[escape]

Current Status:

1) Long Nifty Dec 5900 CE on Oct 31 @ 39.00, CMP 15.85
2) Long Nifty Dec 5400 PE on Oct 31 @ 45.35, CMP 41.55
3) Short Nifty Dec 6100 CE on Nov 5 @ 18.00, Closed today @ 24.95 (loss of 6.95)
4) Short Nifty Dec 5800 CE on Nov 16 @ 53.90, CMP 32.25
5) Short Nifty Dec 5500 PE on Nov 16 @ 43.90, CMP 67.30

Kept all positions for square-off at various limit orders. Let's see result at end of day.

 

[escape]

Current Status:

1) Long Nifty Dec 5900 CE on Oct 31 @ 39.00, CMP 14.70
2) Long Nifty Dec 5400 PE on Oct 31 @ 45.35, Closed @ 38.90 (loss of 6.45)
3) Short Nifty Dec 6100 CE on Nov 5 @ 18.00, Closed @ 24.95 (loss of 6.95)
4) Short Nifty Dec 5800 CE on Nov 16 @ 53.90, Closed @ 30.95 (profit of 22.95)
5) Short Nifty Dec 5500 PE on Nov 16 @ 43.90, CMP 56.40

Trying to close all open positions.

 

[escape]

Current Status:

1) Long Nifty Dec 5900 CE on Oct 31 @ 39.00, CMP 18.65
2) Long Nifty Dec 5400 PE on Oct 31 @ 45.35, Closed @ 38.90 (loss of 6.45)
3) Short Nifty Dec 6100 CE on Nov 5 @ 18.00, Closed @ 24.95 (loss of 6.95)
4) Short Nifty Dec 5800 CE on Nov 16 @ 53.90, Closed @ 30.95 (profit of 22.95)
5) Short Nifty Dec 5500 PE on Nov 16 @ 43.90, CMP 45.00

 

[akhill]

Dear Dan,

Yes, I can see. I have added this in OptionsOracle along with my previous long trades and can see result. It would be profitable if market stays in current range (between 5500 and 5800 as per graph). And because of long Calls we already have, my risk is limited.

I'll take decision on this tomorrow and may go shorting this.

Thank you again for this suggestion.

Regards,
Escape

I cannot get optionsoracle working. Is there anyway you can help me to get it work with NSE data ? It is giving me an error "Current configured Preferred Server is Not Available. Using 'Plugin Server US (CBOE)' Instead"

 

[escape]

I cannot get optionsoracle working. Is there anyway you can help me to get it work with NSE data ? It is giving me an error "Current configured Preferred Server is Not Available. Using 'Plugin Server US (CBOE)' Instead"

You can click on "Config" -> General -> under "Online Servers & Stock Exchange Selection", select PlugIn Server India (NSE) -> Save

This should work. Let me know if you are still facing issue.