If I sold a naked call and put in banknifty at far OTM strike - how should I hedge it?

[curiousv]

Banknifty July 30 expiry.
If I sold a call at 24000 strike price which is far OTM ...how should I hedge/protect it ..because it just a short naked call.
Same question about short sell of 20000 PE put - how should I hedge it ?

 

[sanju005ind]

Banknifty July 30 expiry.
If I sold a call at 24000 strike price which is far OTM ...how should I hedge/protect it ..because it just a short naked call.
Same question about short sell of 20000 PE put - how should I hedge it ?

Since you are naked. To hedge you have to wear clothes.

 

[Dr. Jan Itor]

ITM kareed lo sir... bull call spread...

 

[travi]

ITM kareed lo sir... bull call spread...

Dr Bhai, that will work but it becomes and expensive debit spread.

He has asked a similar question in another thread and doesn't want to buy which is not possible.
He can just decide his max risk and buy a further OTM CE like 24100, 24200 and it will effectively still be a credit spread.
Bear call spread.

Same for puts.
And if it's a 4 legged strategy, then it becomes an iron Condor

From Tapatalk

 

[Dr. Jan Itor]

jab buy hi nahi karna hai, toh short strangle kar do... but what will he get, travi sir... next to nothing, right...

 

[marimuthu13]

Dr Bhai, that will work but it becomes and expensive debit spread.

He has asked a similar question in another thread and doesn't want to buy which is not possible.
He can just decide his max risk and buy a further OTM CE like 24100, 24200 and it will effectively still be a credit spread.
Bear call spread.

Same for puts.
And if it's a 4 legged strategy, then it becomes an iron Condor

From Tapatalk

As he wanted have no loss trade, he may be needed 8 leg in one trade

 

[Vmaster369]

when you have money for margin why do option ?
just buy futures and hold

Options you will loose ...
buyer of option trading Account gets empty
seller of option :-- Whole your bank account including your family member all be empty 1 day lol

in futures atleast we normal guys have chance to win as it can be carry forwarded once share price go down and u can carry forward as long as u have money.

 

[optionerd]

Agree with VNmaster

The key for options lies in buying, selling and holding the stock and using the combinations of it ... You bet in one direction ( up or down ) .. You don't need options Futures/stocks will do

 

[situkukreja]

By buying OTM options

 

[curiousv]

Dr Bhai, that will work but it becomes and expensive debit spread.

He has asked a similar question in another thread and doesn't want to buy which is not possible.
He can just decide his max risk and buy a further OTM CE like 24100, 24200 and it will effectively still be a credit spread.
Bear call spread.

Same for puts.
And if it's a 4 legged strategy, then it becomes an iron Condor

From Tapatalk

Before reading your post - that is exactly what I did for both naked put and call --bought further OTM call/put