Trading for Living -- Successfully Completed one year as Full Time Trader

[amrutham]

Apr 2019 - Zerodha accounts review.

Total capital at the start of new Financial Year FY 19-20 is around 60 lakhs.

April was a reasonably good month with my regular strategies with ratio spread being the most profitable one.
Total gross profit for the month is 2.62 lakhs and net profit is around 1.95 lakhs.

Percentage wise, its 4.2% gross profit and 3.2% net profit for the month.

May 2019 - Zerodha accounts review.

Again this was a reasonably good month, even though very volatile with NF moving more than 100 points on most of the days.

Tried with bull call spread with NF (11200 CE / 11300 CE) and BN ( 29500 CE/29700 CE) during election results and it resulted in good profit. Other than that my regular strategies didn't yield much profits due to high volatility.

Total gross profit for the month is 2.26 lakhs and net profit is around 1.63 lakhs.

 

[SarangSood]

Freaky movement today. Should be very cautious and stay away from selling options.

 

[Raj232]

Freaky movement today. Should be very cautious and stay away from selling options.

Since the premiums have gone up, seems like ripe time for writing options

 

[SarangSood]

Since the premiums have gone up, seems like ripe time for writing options

In my experience it's not that simple. High premiums should be sold off systematically. That's how we can follow the market. I have said earlier that majority of my profits have come when premiums are not high.

 

[amrutham]

Since the premiums have gone up, seems like ripe time for writing options

It always safe not to have any naked shorts over the weekend. You can sleep peacefully for 3 nights.

 

[jyotixxx]

Its futures price only.

May be I am too dumb or I am missing something. I have never considered future price while taking a position. Can you explain a little bit !!

 

[jyotixxx]

May be I am too dumb or I am missing something. I have never considered future price while taking a position. Can you explain a little bit !!

@amrutham

 

[amrutham]

May be I am too dumb or I am missing something. I have never considered future price while taking a position. Can you explain a little bit !!

Not sure what is the issue considering future price.

Options are priced on the corresponding future price only considering the premium/discount. This is true
atleast for monthly options.

For weekly options, we do not have corresponding futures. Hence not applicable.

 

[amrutham]

Perfect day for option writers. For this week expiry, premiums of both calls and puts collapsed.

 

[Raj232]

Not sure what is the issue considering future price.

Options are priced on the corresponding future price only considering the premium/discount. This is true
atleast for monthly options.

For weekly options, we do not have corresponding futures. Hence not applicable.

For todays trading, Futures were up whereas comparatively Index was a bit down as compared to previous day. Seems like weekly option premium was following the index today (instead of futures price) .. just an observation !!