Da, his strategy should work in that period (Aug-16 to Jan-17 at all time IV high), but in my earlier post in your thread, BN annualised volatility has dropped from those 22% to lowest ever levels recently.
Strangle are worst hurt when initiated at such medium to low levels, most of the time they close at break-even and not big profits.
I suggest thread starter to consider current IV levels.
PS: selling BN strangle/straddle at 12-14% ATM IV imho is suicide...
Strangle are worst hurt when initiated at such medium to low levels, most of the time they close at break-even and not big profits.
I suggest thread starter to consider current IV levels.
PS: selling BN strangle/straddle at 12-14% ATM IV imho is suicide...
For nifty options VIX is a good proxy but what about bank nifty?
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