My Serious option questions - test123, healthraj and other knowledgable option trader

[Help_Mee]

Re: My Serious option questions - test123, healthraj and other knowledgable option tr

What happens to the premium received already?

premium you received, you can keep it .. you already paid margin for that.
you can exit position whenever you want.
broker generally auto sqaure off at 70% mtm loss

Thank you

 

[Help_Mee]

Re: My Serious option questions - test123, healthraj and other knowledgable option tr

time fly so fast,
btw I made lot of option trades..
I find that hedging is better than stoploss and if you're sure about direction still do have something for hedge even you're losing , don't worry !
you must protect your mtm margin . some brokers close position even at 50% where their rule says for 70% so be cautious ..
market was so bad meanwhile months,if you see old months you'll find that 600 point down is pretty much possible within 2 weeks .. so be prepared with hedging

if you wanna be profitable you have to do scalping , as soon you gotta premium close this position say atleast 5 to 10 points again short same stuff..
in meanwhile period shorting call and buying put is profitable.
i heard that soros shorted sp500 and very bearish .. sounds like need to disable naked buy button ... anyways best of luck ..

 

[Help_Mee]

Re: My Serious option questions - test123, healthraj and other knowledgable option tr

Today market seems bit weird.
I do watch global market for a long time,
nzx , asx , hang seng ,nikkei, sse index all are in green and our market fell more than 1%.
I never seen nifty rise when all these market open in red .. never
and since last 1 month i do watch these global market , all the time i see same reaction in our market as the way it occur there ..

 

[natjay]

Re: My Serious option questions - test123, healthraj and other knowledgable option tr

Today market seems bit weird.
I do watch global market for a long time,
nzx , asx , hang seng ,nikkei, sse index all are in green and our market fell more than 1%.
I never seen nifty rise when all these market open in red .. never
and since last 1 month i do watch these global market , all the time i see same reaction in our market as the way it occur there ..

Today's market traded in a decoupled way in relation to the rest of the world indices. So far, Nifty/Sensex have been mirroring global markets including yesterday's short squeeze where we saw rapid buying and taking out of short positions.

Today, shorting resumed and the Indian markets seemed to have a mind of its own by acting in a decoupled way and a secular downtrend.

By the way, I was reading up some blogs on historical trends and came across this information while searching for correlation and coupling:

"On 11th February 2008 NIFTY crashed 263.35 points, Sensex was down by 833 points. Exactly after 8 years on 11th February 2016 Nifty has crashed 239.35 points and Sensex is down by 807 points."

 

[Help_Mee]

Re: My Serious option questions - test123, healthraj and other knowledgable option tr

Again Market do follow all these global markets as i mentioned before.. few days when it doesn't follow .. it was kind of predictable days when nifty try to make big move and before this they weaken market .. so few times it doesn't work in same way ...
I felt that in 2016 nzx index didn't fall compared to rest of index , sounds pretty good..

btw
Did any guy can scan timeframe? output of timeframe .. no not with certain timeframe column box , just take an example like doji candlestick.. if doji candlestick made on 18 minutes timeframe where bearish engulfing say 15 minute ..
i didn't find any charting software where you can code such way and get timeframe output .. if anyone tried such stuff before .. kindly let us know .

regards

 

[Help_Mee]

Re: My Serious option questions - test123, healthraj and other knowledgable option tr

Whenever you do Trade, Please try to Hedge it as much as possible .
You shouldn't do naked trade.
Otherwise you will get unnecessary lesson,
If you hedge it , atleast vice versa side help you to maintain your margin ..

I do think Market gonna fall After Budget session month.
But again if most crowd thinking same way .. most of the time it goes opposite of that.. beaware that there's stock operator also

 

[Help_Mee]

Re: My Serious option questions - test123, healthraj and other knowledgable option tr

Be cautious,
Bear rally might start..
and Always remember, there's stock operator .. who do opposite of what retails folks thinking.. and made hype
You shouldn't be trapped in this.. Always look for global markets..
the day when it does opposite of that.. it's because of upcoming stuff.

There'll be correction too when majority of thinking it as a bear rally ..
At the end if country growing, index will go up without any doubt.. but when?
since if you trade in index, it's only possible in future and option .. and you have to select time span for that.. so be cautious ..

So i do believe hedging with leap option , you dont have much liquidity in that though ..
Anyways ..
btw it's not easy to be in investment banking,.. since it's not google.. where you unleashing human potential .. why i said investment banking... because you love making 20% per year with condor with 50s million$ or more . .
but unfortunately when these guys go for raising capital they need guy from world's top university and it's never been like software engineering internet entreprenuership where you can do your stuff without any education or any restriction ..
but anyways .. just this thought came .. lol

Anyways .. Help each other