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Friday, 25 October 2019

Options buying - Part time Trading, Day 38, Oct' 19 Series Closing; Strategy Testing;

#Optionstrading #Optionsbuying #Nooptionsselling #Limitedriskstrategy #parttimetrading

Hello Reader,

  Welcome to Option Buying: Strategy Testing, As usual disclaimer:- This is testing blog series, So strict advise not to trade only for observation.

If you are new reader pls visit STRATEGY INTRODUCTION vis. RULES OF TRADING

Day 35:

            Due to physical settlement of all the contracts (new rule) we are closing all our trades. The same we had already discussed in our rules. refer above strategy introduction.

            We are at the loss of -15,995/-. This is how we ended our October series. This series is really bad for option buyers because most of the stocks neither moving up nor down but the swinging ate all the PREMIUMS badly. For example: Our LICHSGFIN CE almost hit target but came down and started sideways. The closing spot price today is more than our entry spot price but the premium eroded by more than 70%, the same with all other trades like IGL. No stop loss got hit but most of the premium lost value due to VEGA & THETA which is nothing but lack of volatility and passing days.

         No worries, we will start our November series from monday. We will look for opportunities, we will take entry, we will either profits or losses, we earn from targets and we learn from losses, we ill repeat until we become consistent and till we are trading.

Good day...! Meet you all in next month series.

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