NIFTY Options trade : Why and what-if...

[linkon7]

This thread will be a discussion on nifty options trades. Logic behind the trade taken and the what if scenario...

Its important to think about the what if scenario as only then market cant surprise you... there is a action plan for every scenario,...:thumb:

 

[linkon7]

Today's trade :

shorted 5500 straddle (5500 call and 5500 put) for a total of 215...
sl for 5500 call at 137 ( its HOD)
sl for 5500 put at 105.95( Its HOD)



why ?
VIX falling...
market balanced...

what if :

one sl hits.... trail the other....
if neither sl hits.. exit both at eod...

time frame : intraday...

 

[InvestoMania]

How to interpret VIX with Nifty...

Best Regards,
http://www.traderji.com/futures/53550-my-trading-strategies-future-6.html
_________________________________________________________________
The best trading method is to take advantage of the crowd's greed and fear.
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Today's trade :

shorted 5500 straddle (5500 call and 5500 put) for a total of 215...
sl for 5500 call at 137 ( its HOD)
sl for 5500 put at 105.95( Its HOD)



why ?
VIX falling...
market balanced...

what if :

one sl hits.... trail the other....
if neither sl hits.. exit both at eod...

time frame : intraday...

 

[rkkarnani]

VIX is falling and Market is balanced... can we still earn from Writing ITM Straddle : Intraday? Its just the begining of the month.

 

[MurAtt]

@linkon .. where do we get VIX intraday ? I have EOD from NSE BUT Intra ?

 

[linkon7]

sl hit for call at 137...

tsl at 75 for put...

 

[linkon7]

sl hit for call at 137...

tsl at 75 for put...

worst case becomes a scratch trade

 

[linkon7]

@linkon .. where do we get VIX intraday ? I have EOD from NSE BUT Intra ?

VIX i get from odin....

IBC provides india vix data for charting purposes....

 

[linkon7]

VIX is falling and Market is balanced... can we still earn from Writing ITM Straddle : Intraday? Its just the begining of the month.

vix falling... market balanced...is exactly when we earn by writing ITM straddle....

 

[rkkarnani]

vix falling... market balanced...is exactly when we earn by writing ITM straddle....

Okay, My thought process was : when there is not much movement in Nifty and at the begining of the month, there wont be much erosion in ITM Straddle Option prices within the day!!