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

[sreperu]

Amrutham,
Have tried same butterfly strategy with any other liquid stocks ? Please share your experience...

 

[malaya]

Now closed this position.

BN Spot @28290

BN 28100CE 600 Qty @ 165
BN 28200CE 1200 Qty @81
BN 28300 CE 600 Qty @27

Net credit = 165+27 - 162 = 30*600 =18K

Net Profit = 4K

Nice to see all your trades. New to options so please ignore if you find questions are stupid.

Your net debit is 18K and profit 4K , so profit of 20%+
But Margin required would be around 15 lakh around for this trade.
And also curious about brokerage you would have spent.

Please answer or refer me to the place where I can get these details.

 

[VJAY]

Nice to see all your trades. New to options so please ignore if you find questions are stupid.

Your net debit is 18K and profit 4K , so profit of 20%+
But Margin required would be around 15 lakh around for this trade.
And also curious about brokerage you would have spent.

Please answer or refer me to the place where I can get these details.

Better to go from 1st post of this thread......You not ask this question....

 

[malaya]

Better to go from 1st post of this thread......You not ask this question....

Thanks Vijay,

Will start the journal from beginning , hopefully i wont have to read all 98 pages to get the answer

 

[VJAY]

Thanks Vijay,

Will start the journal from beginning , hopefully i wont have to read all 98 pages to get the answer

Its not any bad thing if you go through all posts.....we gone through many threads thrice for getting right of understanding....

 

[amrutham]

@amrutham
This is my first post to your blog, and i will start by saying this is the best and the most inspiring thread amongst all i have encountered till date in traderji. Keep up the great work.

One question - You adjusted the present butterfly by Selling BN 28000 PE expecting it will expire above 28000. But this is not hedged in the downside which means risk in downside is infinite. Why not use a second butterfly OR use some kind of adjustment spreads like in this link? http://www.optionstradingiq.com/butterfly-course-part-12-adjustments/

@kingsmasher1

Very useful information. Currently going through it in detail.

Regarding my adjustment, I keep a limit on number of naked shorts and if the current adjustment still in the overall limit, I go for it, My goal with this strategy is to either make a profit or atleast come out of the trade break-even.

 

[amrutham]

Amrutham,
Have tried same butterfly strategy with any other liquid stocks ? Please share your experience...

Currently I am only trading with NF and BN.

Have not tried butterflies with stocks.

 

[amrutham]

Entered into below BN position for 16th Aug expiry.

BN Spot @ 28220

Buy BN 28400 PE 200 Qty @ 246
Sell BN 28300 PE 200 Qty@ 187
Sell BN 28000 PE 200 Qty@ 72

Net credit = 187+72 -246 = 13*200 = 2.6K

 

[amrutham]

Entered into below BN position for 16th Aug expiry.

BN Spot @ 28220

Buy BN 28400 PE 200 Qty @ 246
Sell BN 28300 PE 200 Qty@ 187
Sell BN 28000 PE 200 Qty@ 72

Net credit = 187+72 -246 = 13*200 = 2.6K

Made adjustment to this position.

BN Spot @ 27870

As a hedge to 28000 PE,

Sell BN 27800 CE 200 Qty @ 215

Credit = 43K

Net credit for the position = 45.6K

 

[amrutham]

Entered into below BN butterfly for 16th Aug expiry.

BN Spot @ 27790

Buy BN 27800 PE 600 Qty @ 113
Sell BN 27700 PE 1200 Qty @ 79
Buy BN 27600 PE 600 Qty @ 54

Net Debit = 113+54 - 158 = 9*600 = 5400