Karthik's OPTION Trading Strategy!

[umeshmandal]

Ocil, Yes the Zerodha PI chart data is wrong...already have posted my query in Zerodha Thread in TJ form...

In this case we will hit with SL as we buy @ 125.80 with a target of 135.80 and SL 118.10 The price didnt went upto 135.80 and SL hit with a loss of Rs.770/- Umesh your first trade for SL hit request

Maybe we should have a percentage based target and also value based Position.
Say we invest max 15000/- and look for a 5% target !
If Option is valued at say 100/- we buy 6 lots=150X100=15000/-
And if its 50/- we buy 12 lots at 300X50=15000/-
Target can be Rs.5/- in Rs.100 Call and Rs. 2.50 in Rs.50 call! The profit amount remains same in each case. Just my 2C.

 

[umeshmandal]

Yday NF high 7919. Looking for 8000 CE at todays high. High at 10.20....
CE high 103.65, ordering at 104

Well I thought : Yday=Yesterday ! Did not know "Yday" means 'today at 11 AM' !
Moreover I had made the same mistake so thought you to be as moron as I am !

 

[pakatil]

Well I thought : Yday=Yesterday ! Did not know "Yday" means 'today at 11 AM' !
Moreover I had made the same mistake so thought you to be as moron as I am !

Well.......yday means yesterday only.

We need High and low of prev day to determine Call & Put Strikes AND to get an entry point next day.

Yday high was 7919. Today High between 9.15 to 11.00 was at 10.20. So I took 8000 CE at 10.20 high in options chart.

Please read the method and examples given another time.

 

[PUCHU_2500]

I think trigger price was 108.50+filter and it did not trigger as per karthik's methode (pls, see rule no.6)
9.15 to 11.00 am high is 103.9 and 12.10 bar closed above this level and high of this bar is 108.50 and also it is day high ....as my chart is showing so....I may be wrong pls, recheck.....

 

[umeshmandal]

Well.......yday means yesterday only.

We need High and low of prev day to determine Call & Put Strikes AND to get an entry point next day.

Yday high was 7919. Today High between 9.15 to 11.00 was at 10.20. So I took 8000 CE at 10.20 high in options chart.

Please read the method and examples given another time.

Seems another goof up by me !

 

[pakatil]

I think it is none of my business to interpret the method and rules.

Karthik is the best man to do that.

Cheers

 

[pakatil]

Seems another goof up by me !

Pls don't feel bad dear frnd. We all traders are entitled to hv our share of stupidity. Isnt it......?

 

[karthik_sri]

Today's NIFTY Option trade 18.09.15

5 min Nifty Future Chart...High breached @ 11.49am candle

5 min Nifty 8000 Call Option chart...same time of 11.49am High price 102.45

Buy @ 102.45
Target : 112.45
SL : 98.50

SL Hit as the price didnt went upto 112.45 and made High of 108.45

SL : Rs.395/-

 

[karthik_sri]

Maybe we should have a percentage based target and also value based Position.
Say we invest max 15000/- and look for a 5% target !
If Option is valued at say 100/- we buy 6 lots=150X100=15000/-
And if its 50/- we buy 12 lots at 300X50=15000/-
Target can be Rs.5/- in Rs.100 Call and Rs. 2.50 in Rs.50 call! The profit amount remains same in each case. Just my 2C.

5% profit is decent on the investment or Range of Buy and SL difference so that R:R is equal...

 

[umeshmandal]

Today's NIFTY Option trade 18.09.15

Buy @ 102.45
Target : 112.45
SL : 98.50

SL Hit as the price didnt went upto 112.45 and made High of 108.45

SL : Rs.395/-

A 5% target would have been achieved here! May be think of booking partially at 5% and balance at Rs.8 to 10/- as per your rule.