Low Risk Options Trading Strategy - Option Spreads

[RAGHUERK]

Hello DanPickUp. How are you. I have gone through you posts and find them very useful. Recently I have ventured into options trading. i was doing well untill this one trade in which I have got stuck.. If you can help me out.. I bought 6300 october nifty options @30 10 lots. since then the markets have fallen badly since then. Moreover we are entering the expiry week starting monday. So if you can give me any idea , what will be the likely value of nifty at expiry. Secondly, is there any posibility of 6300 october nifty options coming in the money anytime before expiry. Thanks in advance.

 

[DanPickUp]

Hello DanPickUp. How are you. I have gone through you posts and find them very useful. Recently I have ventured into options trading. i was doing well untill this one trade in which I have got stuck.. If you can help me out.. I bought 6300 october nifty options @30 10 lots. since then the markets have fallen badly since then. Moreover we are entering the expiry week starting monday. So if you can give me any idea , what will be the likely value of nifty at expiry. Secondly, is there any posibility of 6300 october nifty options coming in the money anytime before expiry. Thanks in advance.

Hi RAGHUERK

Thanks, I am fine. Listen, if you went through my post, you should have seen, that I do not trade options on nifty. I trade only in the states.

My answer to you than only can be on general nature.

Even than : What kind of options do you trade ( put or call ) ?

When exactly did you enter the market with that options (strike from nifty)?

Why on that level ? What did make you taking the decision to enter the market on this strike level with your idea ? Any special indicator or idea ?

What was your idea for any stop loss or any adjustment ?

Did you make any thoughts, about how much money you could lose in the worst case ?

A lot of question, but they all belong to an option trading plan.

DanPickUp

 

[SavantGarde]

Hi Dan,

RAGHUERK is hanging over a cliff holding onto a little something for his life.... and you are asking him for his ID card, his relatives name and their phone numbers.....

By the way he is holding 10 lots of 6300 Strike CALL

@ Raghuerk..... you will loose the total amount if you wait for expiry suggest you book your loss on any rise on Monday itself.....& on any downside below 6038 Buy 1 Lot of November NF to recover some amount.

Will let you know what else you could do... to recover all....

Happy & Safer Trading

SavantGarde

Hi RAGHUERK

Thanks, I am fine. Listen, if you went through my post, you should have seen, that I do not trade options on nifty. I trade only in the states.

My answer to you than only can be on general nature.

Even than : What kind of options do you trade ( put or call ) ?

When exactly did you enter the market with that options (strike from nifty)?

Why on that level ? What did make you taking the decision to enter the market on this strike level with your idea ? Any special indicator or idea ?

What was your idea for any stop loss or any adjustment ?

Did you make any thoughts, about how much money you could lose in the worst case ?

A lot of question, but they all belong to an option trading plan.

DanPickUp

 

[DanPickUp]

Hi Dan,

RAGHUERK is hanging over a cliff holding onto a little something for his life.... and you are asking him for his ID card, his relatives name and their phone numbers.....

By the way he is holding 10 lots of 6300 Strike CALL

@ Raghuerk..... you will loose the total amount if you wait for expiry suggest you book your loss on any rise on Monday itself.....& on any downside below 6038 Buy 1 Lot of November NF to recover some amount.

Will let you know what else you could do... to recover all....

Happy & Safer Trading

SavantGarde

Hi Savant

What else would you do in my situation ?

Would you bluff and say : Hey man, I am the man for your question ( as I did in no way ).

Asking the questions I did, is an other way to find out or recognize, where was the mistake in the trading plan. First way, to not make this mistake again and best way to analyze mistakes by our selfs.

So, is your comment a comment to laugh about it or do you really think, it is best to give an answer, with out knowing any details. I do not know, how you have become a master, but surely not in that way !!

As I mentioned, that I only can give the general nature of the answer, all of you stood on the side and watched, what is going on. Even by the posts before.

So, why jump on me and not jump in earlier to say :

Hey, my name is Savant or what ever and I trade live Nifty. I am now here like AW10 and I trade here and so ask me about such stuff and not him, as he not trades this market and has his special knowledge in his markets ( as you any way know as he tells it nearly in all his post )

Before you jump on me and try to show, that I am the bad boy, asking to direct and now every body can clap in his hand and say : Did you see this Savant ? He is saving this poor guy out of his certain way and Dan boy is asking him question, why he came in this trouble.

Seems, that we really have a different approach of teaching and learning, specially when it come to such post beside the ones here :

http://www.traderji.com/technical-a...-using-technical-analysis-263.html#post479466 ( posted today )

http://yfrog.com/76aviarytraderjicompicturp ( just in case it is deleted )

So, I am really not clear, if this is just a paper trade ?

DanPickUp

By the way, I am clear about the calls, so why buy this strike level on this level of the underlying now with such a short time to expire ?

My questioning pointed exactly in that direction !

As the 6300 call mostly never will come in to the money and over the weekend, he will lose a lot of time decay, he has to act on Monday.

And now I give the ball to you, as you trade options on nifty and trade the future and I will watch your advice form the side.

 

[SavantGarde]

Hi Dan,

My comment was meant in a very light vein....actually just the juxtaposition of Raghu's query & your reply, found it very hilarious....that's all

I know...I know.....you want traders to have a structured thinking process....

Happy & Safer Trading

SavantGarde

 

[DanPickUp]

Hi Dan,

My comment was meant in a very light vein....actually just the juxtaposition of Raghu's query & your reply, found it very hilarious....that's all

I know...I know.....you want traders to have a structured thinking process....

Happy & Safer Trading

SavantGarde

Hi Savant

Any idea beside a structured thinking process ? expect hilarious

Dan

 

[SavantGarde]

Hi Dan,

Only thing that precedes structured process is 'Clarity of Thought'

SavantGarde

 

[DanPickUp]

Hi Dan,

Only thing that precedes structured process is 'Clarity of Thought'

SavantGarde

Clarity of Thought which was build up on ?

 

[oilman5]

1] exact word to express.
2] perfect example to understand
3] actual first hand experience to handle
4] soliloquy
.....................this combination clarifies clarity of thought.........in the field of trading....and ofcourse objectivity.
......................................................

 

[DanPickUp]

1] exact word to express.
2] perfect example to understand
3] actual first hand experience to handle
4] soliloquy
.....................this combination clarifies clarity of thought.........in the field of trading....and ofcourse objectivity.
......................................................

Hy my friend

What would we do with out you and Savant ?

Greatest chat I had in this forum, even very short and significant.

For me it was also :lol: and I am thankful, that other ones not lost there patient.

Thank you to Savant and thank you to you to jump in

DanPickUp