Day Trading Stocks & Futures

[ap*]

Great display of manipulation skills .... Nifty & Bank Nifty are down by almost 1% but VIX is up by just 0.08% .... ONLY 0.08% ...!?!?!?

It also means option buyers have been given a raw deal

 

[Shiv12345]

It also means option buyers have been given a raw deal

True ... It was time they (option buyers) were about to get pounded. Since past few weeks, option buyers have been having all the fun alone. Now it's time for option writers ... (zaraa unko bhi kamaane do dosto) ...

 

[ap*]

Last i checked a lot of puts were being written. Dont think those people had a pretty day today.

 

[ap*]

One of my Ids in a forum for us markets was options addict. Over time and a few hundred trades i wish i could go back and change that ID . Still am very fond of them and still loose money on winning trades (20% of the time ) due to premium erosion. Guess some lessons are never learnt.

 

[Shiv12345]

One of my Ids in a forum for us markets was options addict. Over time and a few hundred trades i wish i could go back and change that ID . Still am very fond of them and still loose money on winning trades (20% of the time ) due to premium erosion. Guess some lessons are never learnt.

Personally speaking, it took me three years to study the behaviour of options in detail. Now, I feel comfortable with options trading. But it's a tricky business for a lot of traders. May be thats why people prefer FUTURES instead of OPTIONS.

 

[ap*]

The taxation on futures is something often overlooked and it eats in profits in a big way. Not to mention the sl trades look worse. Hence i avoid them unless its a long term holding. I use cash for investing and options for trading.

 

[simplebuthard]

Talking only about current scenario of Bank nifty options,
(i don't want to talk about futures vs options), dont think option writers are making very good money in Bank nifty options. It may be true in Nifty options and stock options. But in Bank nifty options the movements are fast after we cross 24000 levels since, hence writers also loosing big in bank nifty option writing.

For example, see today it fell today and nobody knows tomorrow what can happen. if markets open up or down big say 500 or 600 pts gap, option writers will loose big in this week expiry. After weekly expiry started, many option writers loosing big money.

 

[Shiv12345]

The taxation on futures is something often overlooked and it eats in profits in a big way. Not to mention the sl trades look worse. Hence i avoid them unless its a long term holding. I use cash for investing and options for trading.

Good ... nice way. When I put my first foot in this amazing world of derivatives trading almost three years ago, I still remember my first ever broker taught me the most important rule. He said that don't be just a trader. Because you can lose your earnings anytime even after making huge money from trading. Hence, always put your profits (made from trading) in Long Term stock investments (which of course we hold in cash). By this way, one can make big money in about two decades.

 

[SarangSood]

can tell you today wasn't an option writing day. And it's been like this since friday. Maybe get some opportunity tomorrow. Can't say for now.

Sent from my SM-N920G using Tapatalk

 

[Shiv12345]

Talking only about current scenario of Bank nifty options,
(i don't want to talk about futures vs options), dont think option writers are making very good money in Bank nifty options. It may be true in Nifty options and stock options. But in Bank nifty options the movements are fast after we cross 24000 levels since, hence writers also loosing big in bank nifty option writing.

For example, see today it fell today and nobody knows tomorrow what can happen. if markets open up or down big say 500 or 600 pts gap, option writers will loose big in this week expiry. After weekly expiry started, many option writers loosing big money.

Yaa ... correct. I also remember my first time when I lost money in a trade. I was naive, newbie and was still learning. But overconfidence always take you down. So I lost some 8000 rupees. And believe me, it was heart breaking since my ego and overconfidence was badly fractured. It took me few days to produce my first ever profitable trade. Time teaches you a lot.