Option Selling during quarterly results

[lemondew]

Sorry but thats the hard fact. The guys who are here trading since long make money with or without your thread and would continue to do so even if you stop this thread right here. You or me leaving traderji would not matter at all

A lot of what you have written is already there i had read it 5 years back but the backtesting tool by definedge was new. Not taking credit away from you.

https://www.google.com/search?q=htt... Ultimate Earnings Trade Guide - Option Alpha

Hope you find the above pdf contribution by optionalpha useful.

This person thinks so. Who has not contributed a single teaspoon worth knowledge to others of course if he has any.

 

[sanju005ind]

Sorry but thats the hard fact. The guys who are here trading since long make money with or without your thread and would continue to do so even if you stop this thread right here. You or me leaving traderji would not matter at all

A lot of what you have written is already there i had read it 5 years back but the backtesting tool by definedge was new. Not taking credit away from you.

https://www.google.com/search?q=https://optionalpha.com+›+Ulti...PDF+Web+results+Ultimate+Earnings+Trade+Guide+-+Option+Alpha&oq=https://optionalpha.com+›+Ulti...PDF+Web+results+Ultimate+Earnings+Trade+Guide+-+Option+Alpha&aqs=chrome..69i57.1685j0j4&client=ms-android-xiaomi&sourceid=chrome-mobile&ie=UTF-8#sbfbu=1&pi=https://optionalpha.com › Ulti...PDF Web results Ultimate Earnings Trade Guide - Option Alpha

Hope you find the above pdf contribution by optionalpha useful.

I learned a lot from ST da's thread which were posted a decade ago. Who knows someone down the line may benefit a little from what i post here. I learned entirely from this forum.so it is a way of giving it back. Is this the only way to trade.No there are many ways to make money. I post what I found useful to me.
There are many silent readers who may not even click the Like button or put a single post. But when I said I am closing all three threads. I got a lot of PM's who were benefiting from these posts. This is not for the guys trading from Long time. I know all of them are profitable. The moment we feel we have learnt everything MARKET will teach you something new that too in a very hardway. I am a subscriber to Option alpha Channel on Youtube.

 

[TracerBullet]

Dont really see any need for drama, I dont think that post was directed squarely at you. Its just an opinion. Whereas your reply is much more personal.
If you are going to get offended by something like that then better just stop using internet.
This has happened before in one of your thread too and i remember a sudden rant (almost Dan like ) against ST some time back.

Looks like this thread is useless. and ppl want prediction and i dont know what the market is going to do in the next min let alone a day. All the best of you out there. I am on a a journey at a different scale now. where I dont need to prove anything. .Always head bows to Market, @Smart_trade , and @travi . My path is different.And i shall be achieving great heights thanks to guidance of the seniors like saint and Smart_Trade. Now my leverage and scale of operations have increased 50 fold. Will visit this forum whenever I can.
Love all the folks. I am one of the few who trades Pivot methods, TD Systems and my own systems. All the best all of you.

Maybe time to introspect. Many dont care nor envy how much money you make or what you have achieved. Good for you and if people find your stuff useful then very good. But why your ego gets hurt so easily. You have edge, you make money, what anyone says who cares. We dont have to prove anything to anyone, just to yourself ..

All the best ..

 

[Schatz]

Coming back to biz... did you use ur strategy in Infy earnings? guess that did nt go too well.. how would u handle such large gaps

 

[sanju005ind]

Coming back to biz... did you use ur strategy in Infy earnings? guess that did nt go too well.. how would u handle such large gaps

Yes that did not go well. First of I should never take this strategy in Infy if you remember we discuss that we need to do the opposite for infy some 6-8 months back. Will check the old post and try to get it.

 

[sanju005ind]

Dont really see any need for drama, I dont think that post was directed squarely at you. Its just an opinion. Whereas your reply is much more personal.
If you are going to get offended by something like that then better just stop using internet.
This has happened before in one of your thread too and i remember a sudden rant (almost Dan like ) against ST some time back.


Maybe time to introspect. Many dont care nor envy how much money you make or what you have achieved. Good for you and if people find your stuff useful then very good. But why your ego gets hurt so easily. You have edge, you make money, what anyone says who cares. We dont have to prove anything to anyone, just to yourself ..

All the best ..

Please do not get things sidetracked and get into new line of arguments by introducing new names. I have directed the question to the poster and got the answer end of the matter. I would not like to make open ended statements. I will directly ask and clarify. Oopen ended statements are called rants

 

[sanju005ind]

Coming back to biz... did you use ur strategy in Infy earnings? guess that did nt go too well.. how would u handle such large gaps

This is where we discussed. that what works for TCS does not work for Infy.
https://www.traderji.com/community/threads/day-trading-stocks-futures.89068/post-1396705

 

[sanju005ind]

Coming back to biz... did you use ur strategy in Infy earnings? guess that did nt go too well.. how would u handle such large gaps

Not only you, many people have the same questions. Option selling may have 70-80% success rate.However the other 20-30% events has the potential of causing damage to all the profits. Still that can be handled in the following ways.

1. Do not attempt option selling without sufficient capital.
2. Once a position is created one needs to keep almost similar amount of capital in reserve for adjustments. so that one may come out with minimum loss or profit.
3. Beginners should not attempt stock options because stocks can move wildly.Stick to index options. since index does not move like 8-10% on a regular basis and they have less circuit filters.
4. Whenever an option position moves wildly like 2 or 3 stdev. We need to stay calm since it will revert to mean.(Having enough capital also helps in remaining calm).

Now let me show you the Infy position which i always enter in the simulation the moment i take a position.Hence these are not in hindsight. Of course i did not bother to add the adjustment trades like i sold 900puts and then later sold 920,940 call options to minimize the damage. I can only show the straddle which i had taken right before the earnings release(Check the date time stamp at the bottom.). At one point the position was showing a loss of 80k.Look at it now.

 

[sanju005ind]

I had not taken HDFCBank trade because I have two open positions for BajajFinance in two different accounts. They both are hedged on the opposite sides and cannot be taken in a single account. Let me post the open positions and the payoff charts.

Position 1. No upside risk only downside risk. This position is intended to carry till expiration. In between on 21st Jul we also have results.

PayOff Chart.

 

[sanju005ind]

The second position on the Bajfin has no down side risk. But upside risk and will creates loss if closed beyond 3725 and maximum profit if closes near 3500 on expiry.