My Trading diary- Combination of options and future of single stock

#11
Buy order was triggered @170.2. After that OCT future fall to 168.6 :( missed the opportunity. Now sell order is placed @171.2. waiting to get it executed :) Today heavy call writing is seen in NTPC at 170, 172.5 & 175 level. 175 seems the biggest resistance according to option data. So I think it will not cross 175 in this expiry. I have to be cautious on upper levels.
 
#12
Finally sell order also got executed @171.2. After that I bought OCT series future again @170.5. Current status of my open position is

Capture.PNG


Till now 5 points are pocketed :cool: 5 points to go:):) Half the target is achieved. It seems that this diary is lucky for me as I am doing less reckless trades.
 
#13
Gudmrng friends.. Today I sold my OCT future @171.5 and covered my 175CE @1.9 and 165 PE @0.8. Total 2.4 points are gained by these trades. Now will try to enter into OCT series future below 171.5. I am thinking of shorting sept series around 173.
 
#14
Bad day for me. I sold my OCT series future @171.5 which was low of the day (since I placed an AMO). During the day I shorted SEP series future @172.8 hoping that there will be some profit booking after this much gain. But NTPC price went up and up. Now I am having two short positions open at an average of 169.3 :arghh:

Status of my current open position is

Capture.PNG


Effectively I am in loss of 3 points :mad::mad:. Hope that I will be in green again soon.
 
#15
Bad day for me. I sold my OCT series future @171.5 which was low of the day (since I placed an AMO). During the day I shorted SEP series future @172.8 hoping that there will be some profit booking after this much gain. But NTPC price went up and up. Now I am having two short positions open at an average of 169.3 :arghh:

Status of my current open position is

View attachment 28452

Effectively I am in loss of 3 points :mad::mad:. Hope that I will be in green again soon.
There was some news of possible share buyback in NTPC and NHPC.
 
#17
Nifty is down more than 100 points and NTPC is also down by 2 points. I have placed a buying order of Sept series future @171.8. Low till now is 172.3. Lets see what happens today. I also placed a buying order of OCT series future @172.5 which is currently at 173.4. Hoping that my MTM will reduce today :D
 

pannet1

Well-Known Member
#19
Hello everyone. After reading many trading diaries I am also inspired to write my struggle with market on the forum. I want to write it so that I become a disciplined trader. Currently greed and fear are the two biggest enemies which I am facing. May be with all your help I can overpower them.

At present my trading capital is Rs 3 lakh and I have following open position:-
1. NTPC 175 CE 1.90 -- SELL
2. NTPC 165 PE 2.20 --SELL
3. NTPC Sept future 165.8 --SHORT
4. NTPC Oct future 170.5-- LONG

Basically first two options position are made on assumption that NTPC will remain in the range of 165-175 in this month expiry. If it breach on any side then adjustments will be made.
Future positions are taken to get 1 point movement in any direction. e.g. for tomorrow I will place a buy order of NTPC Sept future @ 164.8 and a sell order of NTPC Oct future @ 171.5. If any of the order get executed then a new position will be made accordingly.

Aiming to achieve at least 10 points in this expiry. If anybody has any suggestion then you are most welcome.

Thanks
Looks like too much work for 1 point gain. What if you cover your sell future gets covered at a 1 point profit and market continues to go down very fast.

so you will have loss from

1) short PE
2) long future

the profit from short CE will be peanut and probably the spread will eat up its profit when you want to book profit there. i may be very theoretical and completely wrong of my view.

on the contrary, if you bought the sep future (165.8) for discount and oct future (170.5) for premium and hold till october hoping to pocket the spread and the time decay.
 
#20
Looks like too much work for 1 point gain. What if you cover your sell future gets covered at a 1 point profit and market continues to go down very fast.

so you will have loss from

1) short PE
2) long future

the profit from short CE will be peanut and probably the spread will eat up its profit when you want to book profit there. i may be very theoretical and completely wrong of my view.

on the contrary, if you bought the sep future (165.8) for discount and oct future (170.5) for premium and hold till october hoping to pocket the spread and the time decay.
Hello Pannet1.. Initially I took options position on the view that NTPC would be range bound. And I booked my profit in those options 3-4 days back and currently I have no position in options.

You are right that I should buy Sep future and short Oct future. Initially I tried to do the same but due to very less liquidity in OCT series I was not able to do it. By the way in next month I automatically will be in buy and will carry my Sept shorts to Nov shorts.
 

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