Playing since 2005 lost 13+3 lakhs

[euginsa]

Gambling part -II
20-01-2011= 407+24=431K

Worked well ...

Bought 40 lots of 5700CE at 38 and 40 lots of 5600PE 39 ..
5700CE sold at 73 and PE at 20....

Brother hope doing fine now.. avoid overdoing... and keep some back plan to come out from big wipsaw...


Warm regards,
Euginsa:clapping:

 

[stock72]

Dear friend

I am a novice in this option field. I have just 2 weeks experience in option trading. This gain may be due to sheer luck.

I have to learn a lot from others failure and success.

Thanks

then be clear in money management and risk management ... minimum of some 300k is required to adjsut with the market ......

take care

 

[absolute.zero]

Gambling part -II
20-01-2011= 407+24=431K

Worked well ...

Bought 40 lots of 5700CE at 38 and 40 lots of 5600PE 39 ..
5700CE sold at 73 and PE at 20....

That's great.
Your buying cost = 50x40x(38+39) = Rs 154000
Your sell value = 50x40x(73+20) = Rs 186000
MTM Profit = Rs 32000

How did you reach to conclude that sell value will be higher in case of buying and squaring off both CE and PE, almost at same time? I noticed that CE and PE's buy and sell price as mentioned in your trade happened almost in same time.

 

[stock72]

That's great.
Your buying cost = 50x40x(38+39) = Rs 154000
Your sell value = 50x40x(73+20) = Rs 186000
MTM Profit = Rs 32000

How did you reach to conclude that sell value will be higher in case of buying and squaring off both CE and PE, almost at same time? I noticed that CE and PE's buy and sell price as mentioned in your trade happened almost in same time.

As nifty was there at 5650 for long time i suspect some 100 points strong move going to there on one direction atleast by end of tommorow and hence bought on both side ..... but it happened today itself ....

 

[absolute.zero]

As nifty was there at 5650 for long time i suspect some 100 points strong move going to there on one direction atleast by end of tommorow and hence bought on both side ..... but it happened today itself ....

Okay. But what made you to think you will end in profit by that move of Nifty. I am trying to learn that strategy that earned profits for you.

 

[stock72]

Okay. But what made you to think you will end in profit by that move of Nifty. I am trying to learn that strategy that earned profits for you.

minimum aim is to creat some free positions (since a 100 point move on one direction will give atleast the buy price on the moved side ) ... since move happened today itself and so fast primium increased to endup in good profit...

 

[krishere]

hey stock72.... i have read through this complete thread... and i had a wonderfull time.. no offense..... its gr8 know a guy like you.... man you got balls.... whats ur real name.....

i wud luv 2 meet u once.... what say.....

 

[sachin86]

Hi , my name is sachin just saw your messeges. I am a software engineer and I believe I am quite similar to you .Have lost around 10 LACS 2 years back when I used to trade in future. That time I was not working , but now I am working and would like to have some advice from you . Can you tell me , how you work in CE and PE. How is the brokerage per lot and what is the margin money .Looking forward for you reply .

 

[TraderRavi]

hey Stock, you got a big fan list, it seems buddy............start teaching too....

 

[rrmhatre72]

Gambling part -II
20-01-2011= 407+24=431K

Worked well ...

Bought 40 lots of 5700CE at 38 and 40 lots of 5600PE 39 ..
5700CE sold at 73 and PE at 20....

Hey Stock,

This is the way to do it...
I am using same logic since last two months & my option trades has given avg 15% return/month. Could have earned more but violated some of below rules (sometime) which made trade in loss.

Few points based on my experience of last two months in this strategy
1. Switch to Feb series if you want to continue with this strategy as premium will fall drastically evenif market does not move one single day.
2. Keep stoploss for pair of 4-5points max. you can always re-enter at lower price
3. Square off position daily. You can always eneter at lower price next day.