Amogh9999 | Buzz Chronicles

Option selling strategy thread 🧵

*Capital must be above 6lac

*Target only banknifty (weekly expiry)

* Target 1/2% per week

* combine premium should above 100

Two types of strategy normally i use

⚡ directional

⚡Non directional (strangle)

⚡Direction - when banknifty & out of 5 major banking stocks 2 given breakout or breakdown.

(5 major banks 🏦 - #hdfcbank #icicibank #kotakbank #sbi #axisbank)

✨Breakout - when #banknifty gives breakout & 2/3 banks looking strong.

Then mark swing low of #banknifty & start selling 200 points down strike puts and add more at support line.

If swing support broken then exit.

(Trending upmove)

✨Breakdown - when #banknifty gives breakdown range & (2/3 banks are weak or breakdown stage)

Mark it's swing high & start selling its 200 points above call .

If swing resistance broken then exit .

⚡Non directional (strangle) - when #banknifty and major banks all in range then mark their support & resistance zone.

Selling 200 points above calls of resistance zone & selling 200 points below puts of support zone.

When ever support & resistance break exit position .

Aditya Todmal
@AdityaTodmal

🧵Top 10 best tweets of the week: 5th Nov🧵

🧵on:

• A day in the life of a trader
• IRCTC analysis
• Pivot Levels
• Nifty or Bank Nifty for Option Selling?
• Ten 90-day challenges

and a few other tweets.

Don't miss this interview with the Big Bull (Mr. Rakesh Jhunkhunwala) by Sonia

Fun chat with Rakesh Jhunjhunwala as part of our diwali special. Warm, gracious and witty as always. pic.twitter.com/8W5s5gDjFt
— Sonia Shenoy (@_soniashenoy) October 29, 2021

🧵A day in the life of a

Thread \U0001f9f5:
A Day in the Life of a Trader (A day in my Life)

1) I absolutely love my work\u2764\ufe0f! In fact, I grew up dreaming to be a trader. So trading, to me, doesn\u2019t feel like working (except when I lose\U0001f602).
It\u2019s fascinating because it\u2019s different every day.#trading #life pic.twitter.com/ih9lejMKEr
— Sourabh Sisodiya, CFA (@sourabhsiso19) October 30, 2021

🧵IRCTC analysis by Mr. Ronak

IRCTC - Must Thread of my analysis.

People think that IRCTC crash because GOVT. expect convenience fee from IRCTC. But, reality is that why anyone bought IRCTC at a valuation of more than 400PE. That's a clear euphoria.

Let's get some more details.

1/n
— Ronak Unadkat (@Ronak_Unadkat) October 30, 2021

🧵Nifty or Bank Nifty for option selling?

Here he talks about how being open to trading in both of them can increase opportunities for

Nifty or Banknifty for option selling? \U0001f9f5

There are times when i have traded exclusively in bnf for atleast a couple of yrs, when the weeklies got introduced.

Stopped trading in it for an yr when nf weekly got introduced & bnf started having price freeze issues on expiry days.
— Sarang Sood (@SarangSood) October 30, 2021

ARJUN BHATIA
@ArjunB9591

𝗦𝗽𝗲𝗰𝗶𝗮𝗹 𝗚𝗶𝘃𝗲𝗮𝘄𝗮𝘆 𝘄𝗼𝗿𝘁𝗵 𝗺𝗼𝗿𝗲 𝘁𝗵𝗮𝗻 Rs 𝟭 𝗟𝗮𝗸𝗵 𝗼𝗻 𝗼𝗰𝗰𝗮𝘀𝗶𝗼𝗻 𝗼𝗳 𝗺𝘆 𝗵𝗶𝗴𝗵𝗲𝘀𝘁 𝗜𝗻𝘁𝗿𝗮𝗱𝗮𝘆 𝗣&𝗟 𝗮𝗻𝗱 𝟰𝟬𝗸 𝗙𝗼𝗹𝗹𝗼𝘄𝗲𝗿𝘀
Please read full thread 🧵
50 people will win branded gifts and top 3 will get a special one. https://t.co/3RwSYSTh3f

Highest Intraday Profit of my life \u2764\ufe0f

5 Lakhs + \U0001f7e9

I cried today thinking about 2015 where i use to struggle whole month and was able to make Rs 1500-2000 per month \U0001f97a

From making Rs 1500 pm to 5 lakhs in a day , dropping CA , journey has been in an uptrend. pic.twitter.com/KxD1Y3NgVC
— ARJUN BHATIA (@ArjunB9591) October 25, 2021

Rules
1. Follow @ArjunB9591 and @jointhreedots
2. Retweet and Like (For wider participation)
3. Reply with your answer to the question "What is the best advice you received or you will give to the traders who are starting their trading journey"

4. Winners will be announced on 28th October on @jointhreedots and @ArjunB9591 twitter handle.

Make sure you follow all rules else you will not be qualified for the contest
50 people will win branded gifts worth more than Rs 1 lakh
Top 3 will get a special gift along with normal

Thomas Chua
@SteadyCompound

Youtube provides us access to the top investors worldwide.

But 98.8% don't use it to its full potential.

Five videos that provide the best investing insights:

What you learn: Fundsmith investing philosophies and company's thesis.

From: Terry Smith, founder of

What you learn: Characteristics of compounders & understanding your competitive edge

From: @yliownyc and @tseides

What you learn: How to research a stock from scratch

From: @BrianFeroldi and @Brian_Stoffel_

What you learn: What makes internet stocks attractive?

From: @DennisHong17 and @goodinvestingc

Sarang Sood
@SarangSood

Hello! Welcome to my profile.

This is Master thread of all the useful tweets (imo) that i have shared in the past. Going through them may provide some knowledge on options, volatility, greeks & trading psychology. Will keep updating in the future.

Thanks for following 🙏

👇👇

https://t.co/PKoiCFSrXJ

FINDING EDGE IN OPTIONS

24/08/15: Nifty gap down 250 points & another 250 after that. Previous few months return gone, but since I'm quick to take my losses, was saved from ruin. Before that my only edge in option selling was adjustments & my forever edge of following PA. (1/n)
— Sarang Sood (@SarangSood) January 9, 2021

https://t.co/Qd3VpXcBlN

AN ESSENTIAL THREAD ON OPTION ADJUSTMENTS

Adjustments can be done in variety of ways & depends totally at the discretion of the trader. To get a clear mind we need to know the following:

1) What to follow,
2) How to make the adjustment,
3) When to make the adjustment. (1/5)
— Sarang Sood (@SarangSood) June 8, 2020

https://t.co/5AtqFPYFgA

THREAD ON DELTA (The most important GREEK)

Many traders don't indulge in understanding GREEKS because they think they are very complicated.

There are 4 primary greeks:

Delta
Gamma
Theta
Vega

In my experience, understanding DELTA is enough to take benefit of greeks.(1/n)
— Sarang Sood (@SarangSood) January 2, 2021

https://t.co/imMobLg7fv

My trading journey started at the age of 17. Coming from a family of professional traders it was easy to get a headstart & i quickly got accustomed to it. But at that time i didn't have a clue of what I'm getting into. I very well knew how money is made & lost in the markets(1/5)
— Sarang Sood (@SarangSood) August 1, 2020

Sarang Sood
@SarangSood

THREAD ON IRONFLY

These days the most preferred strategy for option sellers due to improved margins is IRONFLY. It's essentially a short straddle with long strangle. Long strangle acting as 'WINGS', which help in capping the unlimited risk associated with a short straddle.(1/n)

You can also view the position as a combination of Cal & Put credit spreads, if that makes it more easy for you.

There are 3 important things to understand while trading this strategy:

1) Initial size of the Wings
2) Risk Management
3) Adjustments

(2/n)

Since we are selling an ATM straddle, the 1st question is how far our wings should be? Ideally i sell .50 delta straddle & buy .20 or .10 OTM strangle, depending on my view on volatility. So the distance of wings depends on the IV setup. Higher the IVs, greater the distance.(3/n)

If you don't understand greeks, then ideally with 30 days to expiry (dte), wings should be around 300pts either side. If your trading in weekly then it should be not more than 200pts. Higher the premiums, higher the distance as we have more cushion of theta. (4/n)

It is important to understand that we need to reduce the distance of wings with time so as to manage our RISK in gap openings or sudden volatile move. So for eg. if you started with 300pt wings with 30dte, the wings wouldn't give the same protection when there is 7dte. (5/n)

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