Nifty Options Vertical Spread Trading

[ananths]

ananth bhai,

today is wednesday .

Hi Narayan bhai,

I'm back today morning but market is off today.....

 

[ananths]

Spread #6 Dt - 11/10/2013

I have taken this credit spread during my vacation and could not update it here..

Short 6300CE @ 48 (32) = +16
Long 6400CE @ 24 (14) = -10

Net P/L is +6 points.

By seeing market around 6100, i took this trade as it had highest OI at 6100 level...now the highest OI shifted to 6300CE and put side 6000PE has added OI eventhough 5700 has Highest OI. I think 6000 will act as a strong support and market will remain bullish until 17th. Then global market will decide our fate!!!..

 

[ananths]

Closed spread #6

Short 6300CE @ 48 (22) = +26
Long 6400CE @ 24 (10) = -14

Net P/L = +12 points :thumb:

 

[ananths]

IV has dropped drastically....calls below 20 and puts around 20-22.

Im bit confused by this to take position because there is news from US and IV has dropped in NIFTY...usually as a reaction to news IV should go up.
Option players should be careful now because I doubt there is any increase in IV now for the 2nd half of the month.
Max OI is at 6200CE and a strong support around 6000PE..I think Iron condor should work

 

[ananths]

Spread #7 Dt 17/10/2013

There is slight change in my spread today...will add legs to it

I'm planning for a Iron condor and will add legs to it today.

Current position,

Short 6200CE @ 51
Short 6000CE @ 57

I will add below legs to it today
long 6300CE
long 5900PE

Let us see how it goes...

 

[ananths]

Spread #7 - update

Short 6200CE @ 51
Short 6000PE @ 57

Total credit = 108

Added 2 legs

Long 6300CE @ 17
Long 5900PE @ 36

Total debit = 53

I waited to add leg to this spread and that resulted in +5 points profit in overall position now. I will update the status at COP. :thumb:
It will be tricky to manage this if market crosses 6000 on the downside now

 

[kesk]

at 3.13pm, nifty future down by 0.83% and still 6000PE and 5900PE are -ve only. Only 6100PE is +ve that too by 3.28%. What's really happening.

 

[ananths]

at 3.13pm, nifty future down by 0.83% and still 6000PE and 5900PE are -ve only. Only 6100PE is +ve that too by 3.28%. What's really happening.

Its just that IV is falling and not increasing hence the value of the options does not increase much along with the underlying. That is why my credit spread is working in favor. I think even if Spot nifty touches 6000, my spread wont lose much..let us see..but I'm enjoying this credit spread now. Hope tomorrow there wont be any gap down! :lol:

 

[ananths]

Spread #7 - Update

Short 6200CE @ 51 (32) = +19
Long 6300CE @ 17 (13) = -4

Short 6000PE @ 57 (64) = -7
Long 5900PE @ 36 (37) = +1

Total P/L = +9 Points. :thumb:

 

[AFORASTRO]

Spread #7 - Update

Short 6200CE @ 51 (32) = +19
Long 6300CE @ 17 (13) = -4

Short 6000PE @ 57 (64) = -7
Long 5900PE @ 36 (37) = +1

Total P/L = +9 Points. :thumb:

Guruji if i take 1 lot of each than how much capital(i only have 9k) should i have? Till now i learned only to crawl in trading .
If you don't like my question you can throw out of window not me my question