Trading for Living -- Successfully Completed one year as Full Time Trader

[amrutham]

Dear amrutham/other option traders,
I follow price action trading ....if I use writing CE(justOTM) if my trade in SHORT & write PE (just OTM) if my trade in LONG ...its for pure intraday when my SL hit in spot will exit as put sl for option is difficult (though will think of put initial sl of some fixed for anything unknownly happen )...Please share your views on what are the main problems comes in this trades?also VIX do any thing against it?

Except for event days you can try it. Start with single lot. Compared to futures, here your profit or loss is less, but you get time decay benefit.

 

[anildnr]

Thanks anilji,
I not started trading it...enquired for clarity as am not traded options so the real problems seen by real option traders like you ...like spot we can't backtest options ..I just observed when stop hit in futures if we exit in options loss is minimum opposit futures loss...though profit also low compared to futures ...BE points are large in futures but in options its very low...thats why just thought about it.....share if any observation you people experienced in live trading ....Thanks a lot

Yeah vijay..previously i used to buy options as don't know much about option writing and people say there will be unlimited loss in option selling..ofcourse i lost money in option buying.

Coming to your point ..please check the positions taken by amrutham..and check the possible scenarios..only thing is we should have good amount of capital to take positions to carry over till expiry and also we should have buffer money to adjust. If you have that then go ahead and i am sure you will get 3 to 5% monthly.
You can check greatoptionguru videos in YouTube they do hedging with both future and options

 

[VJAY]

I just checked todays 2nd trade future VS option(writing)

 

[govindheg]

You can use Quantsapp

Hi,
The app appears to be good. Did you subscribe to the PRO version?

 

[VJAY]

Except for event days you can try it. Start with single lot. Compared to futures, here your profit or loss is less, but you get time decay benefit.

Thanks amrutham,
can we benefit time decay trading intraday ? if so I think its minimum.Right?

 

[anildnr]

Thanks amrutham,
can we benefit time decay trading intraday ? if so I think its minimum.Right?

Make sure that no surgical strikes that day .....hey just kidding

 

[VJAY]

Yeah vijay..previously i used to buy options as don't know much about option writing and people say there will be unlimited loss in option selling..ofcourse i lost money in option buying.

Coming to your point ..please check the positions taken by amrutham..and check the possible scenarios..only thing is we should have good amount of capital to take positions to carry over till expiry and also we should have buffer money to adjust. If you have that then go ahead and i am sure you will get 3 to 5% monthly.
You can check greatoptionguru videos in YouTube they do hedging with both future and options

Yes amrutham method is very good one ...but trading those need good/big capital ..though any position strategy need good cap
Gone through many option videos including greatoptionguru

 

[anildnr]

Yes amrutham method is very good one ...but trading those need good/big capital ..though any position strategy need good cap
Gone through many option videos including greatoptionguru

Yeah people think like that and go for buying options with less capital and make losses

 

[amrutham]

Thanks amrutham,
can we benefit time decay trading intraday ? if so I think its minimum.Right?

From Tuesday -Thursday, even intraday positions will have good time decay. Monday and Friday, its not much.

 

[amrutham]

Make sure that no surgical strikes that day .....hey just kidding

Occasionally you will be hit with unexpected news/event and its out of your control. On those days, simply take the loss and sit out.

In a year, may be you will get one such event. If your position size is correct, you do not need to worry. If you are taking too big positions for your account size, sooner or later you will hit with one bad trade that will do severe damage to your account.