I am doing paper trade on this strategy perhaps one of the straddle strategy. I am not an expert. From experts of option strategies I have request to kindly discuss this strategy.
In this my strategy I want to buy put and call options at same rate (nearly same premium ) say at Rs. 28 and Rs. 29 respectively. I give a stoploss of Rs. 5-6 gap to premium of unfavourable (less predictable) direction and simultaneously 10-11 point target to another favourable direction. Assuming Rs. 1-2 brokerage expenses. Can this strategy be worked daily to make profits consistently.
I neither have much time nor resources to devote to actually check this strategy movement. Those of u who have already followed it or know about it Kindly discuss drawbacks and failure points.
Perhaps failures may result where target is not reached because of rangeboud market and both side may go with minor stoploss gaps (Rs. 5-6 difference).
Your opinions please
In this my strategy I want to buy put and call options at same rate (nearly same premium ) say at Rs. 28 and Rs. 29 respectively. I give a stoploss of Rs. 5-6 gap to premium of unfavourable (less predictable) direction and simultaneously 10-11 point target to another favourable direction. Assuming Rs. 1-2 brokerage expenses. Can this strategy be worked daily to make profits consistently.
I neither have much time nor resources to devote to actually check this strategy movement. Those of u who have already followed it or know about it Kindly discuss drawbacks and failure points.
Perhaps failures may result where target is not reached because of rangeboud market and both side may go with minor stoploss gaps (Rs. 5-6 difference).
Your opinions please