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[SarangSood]

Good volatile move now in both the indices.

 

[sridhga]

Looking like 'Fry'day of option buyers.

Undoubtedly such high premium, doesn't make sense to buy

Good volatile move now in both the indices.

Agreed. But still went ahead and bought a Put on BNF. I feel the market is on a high and will get into a hangover soon.

I may be wrong. But see, when we were going on a dream flight this week, the rest of the world did not do very well. We need to come down to earth soon. Now that the Govt. is elected, the market would focus on unresolved issues like unemployment, NBFCs etc.

 

[iwillwin]

Agreed. But still went ahead and bought a Put on BNF. I feel the market is on a high and will get into a hangover soon.

I may be wrong. But see, when we were going on a dream flight this week, the rest of the world did not do very well. We need to come down to earth soon. Now that the Govt. is elected, the market would now focus on unresolved issues like unemployment etc.

U bought which strike....I guess post 3 it was tempting to buy puts but didn't try it as have had good lessons in the past

 

[sridhga]

31300 PE for 288

 

[kingsmasher1]

A word of caution and an interesting read for all option sellers:
https://earlyretirementnow.com/2018/12/18/the-optionsellers-debacle/amp/?__twitter_impression=true

 

[TraderRavi]

A word of caution and an interesting read for all option sellers:
https://earlyretirementnow.com/2018/12/18/the-optionsellers-debacle/amp/?__twitter_impression=true

There is an old thread by a member in TJ itself who got wiped out with short calls in 2009 election upper circuit.

 

[jyotixxx]

There is an old thread by a member in TJ itself who got wiped out with short calls in 2009 election upper circuit.

Can you post the link plz

 

[TraderRavi]

Can you post the link plz

I have searched yesterday but could not find it as I dont remember thread starter's id. Search option in Tj is not upto mark , I have searched 2009 election call option loss etc but no thread coming in search.
I have also tried to find it in derivatives forum/option forum by thread date but still could not find.

 

[amrutham]

A word of caution and an interesting read for all option sellers:
https://earlyretirementnow.com/2018/12/18/the-optionsellers-debacle/amp/?__twitter_impression=true

Its scary reading, how an organization went bust selling naked options. They lost more than $150 million selling Natural Gas short strangles.

Over leverage with naked option selling is recipe for disaster.

Its always better to be less greedy and go for option strategies, where your risk is predefined and return is also limited.

I also had one such experience with BN naked short calls, when bank recapitalization news came in. After that incident , my naked shorts position size came down drastically.

 

[Raj232]

Good volatile move now in both the indices.

Any forum related to option selling ? or selling strategies ..? available on traderji , unable to find any ...