iCharts Discussions

modifan · White Belt Joined: 10 Feb 2015 Posts: 19

Hello Friends,

I will post option trades regularly in this this thread. From my experience i have learnt that it is very difficult to earn money from option trade by buying options.
So my trades will consist of shorting or writing options with stop losses. The margin requirement for shorting options is high so the lot size depends on your capital.

Hope we all make some money.

Happy Trading.

amitagg · Black Belt Joined: 01 Oct 2013 Posts: 4559

Interesting choice of thread and author name!

Why not go immediately with rising vix and only few days to expiry....

AMBY · Yellow Belt Joined: 05 Sep 2014 Posts: 503

ALL THE BEST.

rwdesai · White Belt Joined: 27 Apr 2009 Posts: 94

modifan: I am also fan of options. All the best.

pvramesh · White Belt Joined: 01 Jan 2011 Posts: 35

can any body inform me how much capital is required for writing/shorting one unit call/put option from adiscount broker like zerodha ?

mohitshukla2021 · White Belt Joined: 14 Feb 2012 Posts: 275

Shorting Options requires same amount of margin as taking a future position. Generally around 17-18000, at current levels of nifty. Though if you write covered call or put, margin required goes down for option position.

modifan · White Belt Joined: 10 Feb 2015 Posts: 19

Thats right. Right now margin for shorting 8800 call is around Rs 15000. It keeps changing.
Pvramesh: You can calculate the margin required by going to Zerodha website. They have a tool called SPAN which can help you.

Jai Hind

modifan · White Belt Joined: 10 Feb 2015 Posts: 19

Amitagg,

I don't trade until i know the direction of the market clearly. When there is a trade i will post it here.

Regards

modifan · White Belt Joined: 10 Feb 2015 Posts: 19

Trade #1

Sold 8700 PE at 40.

Jai Hind

modifan · White Belt Joined: 10 Feb 2015 Posts: 19

Closed the trade at 84. Loss 45 points.

There are some good days and some bad days. No worries. Lets see the next trade.

Jai Hind.

amitagg · Black Belt Joined: 01 Oct 2013 Posts: 4559

True.....nice to see you decided to 'act'

......do you determine SL levels before initiating a trade......? Just a thought.

Laughing

modifan · White Belt Joined: 10 Feb 2015 Posts: 19

Amit,

My stop losses are not decided at the start of the trade. They are determined by the strategy that i follow. So as the trade develops the stop loss keeps changing.

Regards

modifan · White Belt Joined: 10 Feb 2015 Posts: 19

Apologies for not being able to post the trade live as i could not access the computer at that time. I was away and the stop loss triggered.

Next time i would make sure to post it instantly. Sorry for the inconvenience.

Thanks

Hydrogen · White Belt Joined: 18 Feb 2014 Posts: 87

ModiFan:
Why not go for Diagonal Spread or Vertical Spread, instead of trading/selling naked options.

Regards
Hydrogen

amitagg · Black Belt Joined: 01 Oct 2013 Posts: 4559

no issues man......I have seen hundreds of stop losses trigger in my trades........with due respect, we are not like some other threads where only levels given and no trades / strategy......as WELGRO said, we need courage to trade, we just cannot always only paint like artist........