This Simple Strategy has given around 18500/- in 20 days with a ROI of 3% on 5 lakh capital.

If we buy hedges, Margin will reduce & ROI increases.

More strategies will be shared going forward.

All u need is execute with Discipline & sticking with system when in DD.

(1/n) https://t.co/3KH9v0tgsb

For weekend learning.

1. Reverse buying (Iron Fly Adjustments) https://t.co/1HCmF6ej9e

2. Straddle setup and adjustments
https://t.co/MFvRjemrHw

3. In depth option chain analysis
https://t.co/W9iiCiBJaw

4. Expiry calendar setup

The most valuable hedging strategy you aren't using:

The IRON FLY STRATEGY.

Knowing how to use it will protect you from gaps and intraday spikes and 10x your hedging experience.

Here's the step-by-step guide:

Collaborated with @niki_poojary

Here's what you'll learn in this thread:

1. What is an iron fly
2. Perks and Drawbacks
3. What to do when in profit?
4. How to adjust when in loss?
5. Thread on How to keep shifting an iron fly for max credit?
6. Risk-free trades benefits

Let's dive in ↓

1/ What is an iron fly?

Sell ATM CE and PE (Short straddle)
Buy OTM CE and PE (Hedge it by buying on both sides)

Look at the picture below for an example of an iron fly in current weekly options.

2/ Why do traders like iron fly?

Many traders want to receive maximum theta or max credit.

This is why they sell straddles.

But straddles have unlimited risk in them, and can't handle gaps or intraday spikes.

This is why traders like knowing the maximum loss in their trades.

3/ Perks of Iron Fly

Low capital required—Possible to buy first, sell later

Limit losses—Know your maximum loss upfront

Adjustments—Can reduce losses to zero or almost nothing

Weekly earnings—Possible on a weekly basis

Jackpot—Potential for a jackpot if it expires in middle

Sharing a simplest ever to trade options.

Chalk out Support & Resistance.
Play contra.
Like make bullish positions on support
Or
Bearish on resistance.

Bullish means sell ATM PE & OTM CE
or bearish means ATM CE & OTM PE

Exit if support or resistance broken.
As it gonna be a trending day.
Hold another leg to breakeven.

If moves comes into favour, one gonna make awesome.

Technical Analysis and 3 Strategies to deploy for Aggressive, Moderate, and Conservative Traders.

🧵Weekly Bank Nifty Analysis for 6th Jan Expiry:

To form a view, let's have a look at:

1. Multi-timeframe Technical Analysis
2. Option Chain Data

Also, 3 strategies to deploy for:
1. Aggressive Traders (1.85%)
2. Moderate Risk Traders (1.2%)
3. Low-Risk Traders (0.75%)

1. Technicals

Let's start with technicals. We'll look at:

• Weekly charts
• Daily charts.
• Hourly / 60 min charts.
• 15 min charts.

1. Weekly-

• The past 2 weeks indicate that buyers have entered and are trying to lift the market up.

• 34000 was a strong support earlier too, this should hold for this week at least.

2. Daily:

• If we open flat or gap up on Monday I am expecting this to play out.
(See picture)

• If gap down happens, then the traders who are long would be in a slight panic and we need to observe the price action again after a couple of days for a broader view.