OTM Option writing

[mastermind007]

thats is for for day trade
target for pair sell in daytrade is -10 to 20,20 is max target
normally one can get 5 to 10 points in daytrade

Thanks once again ............

As I am new to option game, I wanted to understand the logic why should one do intraday and not EOD?? Anyways Pair trading (the one u showed) looked preety safe and your stakes were protcted in bullish as well as bearish market.

I guess that the rule proposed by mvkarthik is fairly important rule, playing with preset limited targets greatly improves hits to misses ratio.

Holding anything overnight in F&O (particularly NIFTY) is dangerous exposing himself to risk of gap down / gap up and trading these markets with bare minimum margins means that broker may forcibly square off your position.

While having positive attitude helps, not having respect for negative attitude is not exactly wise in this scenario.

 

[mastermind007]

emoheal

Two other threads for you to look at

http://www.traderji.com/options/99174-help-options-strategy-writing-otm-puts-calls-nifty.html


http://www.traderji.com/options/991...n-option-writing-broker-lowest-brokerage.html