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

[sreperu]

In case of ratio spreads, I keep the top two legs untouched and keep on adjusting the outer leg as per the market movement.

If we take the current position, Long 11700 PE and Short 11600 PE legs are untouched until this whole position is closed.

The outer leg 11300 PE is adjusted when NF broke 11500.

As part of the adjustment,11700 CE was selected since I expect NF not to break the recent high of 11700 -11800 for this series.

As a rule, I adjust short PE positions immediately and while adjusting short CEs, its generally wait and watch approach.
In the above case, my plan was to revert back the adjustment once NF starts trading above 11500 consistently. Now as it is trading above 11500, I am in wait and watch mode. If it trades positive on Monday also, I will move the 11700 CE short position either to 11300 PE or 11500 PE.

Thanks a lot for such nice reply. I will explain my problem in the post in detail if you don't mind.

 

[deepv]

Hi Amrutham,

I suppose you use Zerodha a/c for your trading.
Any others along with this, Z has been creating too many issues off late?
With capital size, its better to have options available.

I started seeing your thread over last couple of weeks, lots of strategies being posted by you. Good to follow and learn.
Do you keep a plan dividing your capital between various types of them - directional, non-directional (hedged and non-hedged), etc.?
How much do you deploy between Nifty, BankNifty, and stocks?

Bunch of questions, if you have already posted info somewhere, apologies - just point to the posts.

Thanks,
-Deepankar

 

[prabhsingh]

Amrutham,

Do you make use of current Implied Volatility and how its behaving as compared to its previous Historical Volatility and IV Percentile or IV Rank to get an idea whether current IV is really high or low.Do you consider these factors as well?

 

[amrutham]

Hi Amrutham,

I suppose you use Zerodha a/c for your trading.
Any others along with this, Z has been creating too many issues off late?
With capital size, its better to have options available.

I started seeing your thread over last couple of weeks, lots of strategies being posted by you. Good to follow and learn.
Do you keep a plan dividing your capital between various types of them - directional, non-directional (hedged and non-hedged), etc.?
How much do you deploy between Nifty, BankNifty, and stocks?

Bunch of questions, if you have already posted info somewhere, apologies - just point to the posts.

Thanks,
-Deepankar

I am using FYERS account along with Zerodha. Yeah, recently facing lot of issues with Zerodha, mostly issues related to order entering. In those times, Fyers comes to my rescue.As of now Fyers is my backup account.

The only thing stopping me to completely move to Fyers is, even though feature rich,I find their trading platforms ( esp Fyers Mobile) are very slow, when compared to their Zerodha counterparts.

Regarding capital allocation, most of my capital is used for BN weekly options. Other than these, I take monthly 1-2 short stock option positions and 1 NF position.

I keep a limit on naked short positions. The current limit is, 6-8 lots of NF and 5-6 lots of BN at any point of time. All other positions are hedged.

 

[amrutham]

Amrutham,

Do you make use of current Implied Volatility and how its behaving as compared to its previous Historical Volatility and IV Percentile or IV Rank to get an idea whether current IV is really high or low.Do you consider these factors as well?

I am not looking into all those technicals. The only thing that is important is, the initial debit and the probability of index closing in my expected range and if the trade goes against me, can I come out of it with a small loss or not.

My motto, survival first and profits if any comes later. I am even okay, I my account stays flat for a whole year without any big draw downs in adverse market conditions.

 

[travi]

Amrutham,

Do you make use of current Implied Volatility and how its behaving as compared to its previous Historical Volatility and IV Percentile or IV Rank to get an idea whether current IV is really high or low.Do you consider these factors as well?

You have to analyze his trade and variants on a per trade group basis.

Most of his frequent trades are Butterfly spreads, these are inherently Vega neutral so the question of Vola doesnt apply.
The other trades are also not scalping ones, ppl do gamma-scalping/vega-scalping etc but his are more Delta oriented to the spot/Fut price which is most important for him.
Delta damage is relatively easier to fix with counter-positions.

 

[jyotixxx]

@amrutham how do you survive such choppy days?

 

[amrutham]

@amrutham how do you survive such choppy days?

As usual lot of adjustments to the naked positions. One good thing is instead of big gap down, market is going down gradually.

 

[amrutham]

Successfully completed the 2nd FYERS 30 day challenge.

Profit is around 14K on initial capital of 2.96 lakhs. Net capital at the start of new challenge is 3.1 lakhs.

Successfully completed the 3rd FYERS 30 day challenge.

As usual gave back most of the profits. Final profit is around 8K on initial capital of 3.1 lakhs.

Net capital at the start of new challenge is 3.48 lakhs ( including added capital of 30K).

 

[superman]

Great Congrats !

BTW are you done with your audit ,, ? Can you please share your experience , I am also opt for audit from next year as I can show expenses and I dont need to show the mandatory 6% profit on turnover ,,