BC TRADING
Saved by @Shubham51ngh

You answered it yourself šŸ™‚
Adjustment cost is way too high for bnf. Sometimes bnf does exceed nifty in vol crush, but nifty overall is more consistent.

More from Sarang Sood

Sarang Sood
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)
FOR LATER READ , ALL
Sarang Sood
Sarang Sood
@SarangSood
10 mistakes in my 14 years of trading as an option seller šŸ§µ

1. Staying neutral all the time. Majority of the years i have been a neutral option seller. I now realise that having a little sense of direction would have given me an added advantage with better utilisation of capital & also leverage (till the time it was available).

2. Too much importance on adjustments. Initially like most of the new option sellers, i had this notion that i can perfect my adjustment skills for any market conditions. Ofcourse i was wrong. Market is supreme & we need to respect it at times.

3. Not giving importance to greeks. For initial 6 years i didn't even know the existence of greeks. Since i started using them, option selling has become rather less complicated on the contrary of what most people believe.

4. Having too much confidence on the certainty of theta decay. Enough is said about it already. Theta decay is not an edge.
OPTIONSLEARNINGS , ALL
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Sarang Sood
Sarang Sood
@SarangSood
Low VIX doesn't necessarily mean ideal time for option buyers. If premiums aren't falling consistently during the day in low VIX, it usually gives those small delta & IV spikes, just enough to irritate both option buyers & sellers. Same happens when VIX is ultra high.
OPTIONSLEARNINGS
Sarang Sood
Sarang Sood
@SarangSood
A THREAD

Topic: HOW TO TRADE IN RISING PREMIUMS SCENARIO

Option sellers specially Straddle sellers feel that rising premiums give them excellent opportunity to make easy money. So what they are seeing is the theta aspect of options & ignoring the delta/gamma/vega forces.

1/

With rising premiums come high delta moves. There is a reason why premiums are all increasing up in the first place. High uncertainty & fear is what's controlling the markets during such times. So a volatile 200 point move in nifty is always on the cards.

2/

Adjusting during such delta moves involves high slippages. Such costs go in our system & are irrecoverable. So if the ATM straddle is around 400 & after 200 point downmove, the next straddle is at 450 & the loss is not just 50points but compounded much more.

3/

Also there are chances that there is no decay throughout the day. So a straddle seller has to take that heavy risk of carrying it forward & chances of gap openings are high during such times. If converted into Ironfly, then the cost of the wings is too expensive.

4/

Thus cutting down the initial credit significantly.

There will also be very few instances when premiums don't fall till expiry day. So with each delta move the cost of holding a straddle gets accumulated & pressure keeps mounting for the stubborn option sellers.

5/
OPTIONSLEARNINGS , SARANG SOOD OPTIONSLEARNINGS , OPTIONSLEARNING
Sarang Sood
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 šŸ™

šŸ‘‡šŸ‘‡

https://t.co/PKoiCFSrXJ


https://t.co/Qd3VpXcBlN


https://t.co/5AtqFPYFgA


https://t.co/imMobLg7fv
OPTION MASTER THREAD , ALL

More from Trading

Trader knight
Trader knight
@Traderknight007
Overthinking - The art of creating problems which weren't even there.

Thread on How Over-analysis leads to decision Paralysis-


What is Analysis paralysis?

In simple terms, analysis paralysis is a person's tendency to over-analyze or over-think upon a decision to such an extent that he/she fails to make a choice resulting in a paralyzed state of inaction.


How a retail trader trades-

A trader named Rahul, He know all the basics of markets, He also has made a system which gives signals on nifty, he has also encorporated good Risk management and Position sizing into his system.

One day he gets a signal to buy Nifty at 13500 with stop at 13450, he wanted to take the trade, but he wanted to get sure that the trade he has take should be a winner.

So he says just let me check the RSI if its above this level I will buy , he checks it and it was above his

level, then again he wants to check another indicator named MACD, he wanted to get sure man, Now he do the most intelligent thing to get sure he gets right.

He goes to twitter and ask his twitter Friend Trader knight he ask him that should I buy nifty at 13500,
TRADING
Trader knight
Trader knight
@Traderknight007
Three things which will make a difference in Your trading Results.

A thread-


1. Clarity- When the mind is free from fear and ego

The first step to successful trading is to be clear about everything you do.

BUT, the reality is that most traders don't even know what they are doing.

And because of this-

They don't have any goals.
They don't have any Trading plan
They don't know what is suitable for them
And the list goes, on and on.

If you are among the people as described above, don't worry, There is nothing wrong with you, almost 90% of Traders are like that.

So, what do you have to do to get CLARITY in your Trading-

Find one style that is suitable to your personality and double down on it.

Why?


In this world where we have plethora of information just one click away, most people are distracted and see a Glowy thing every time they go over the social media.

They Find something new every now and then, jumping from one strategy to another, searching for Holy grail.
TRADING , ALL
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antifa.drone
antifa.drone
@antifa_drone
Fake chats claiming to be from the Irish African community are being disseminated by the far right in order to suggest that violence is imminent from #BLM supporters. This is straight out of the QAnon and Proud Boys playbook. Spread the word. Protest safely. #georgenkencho


There is co-ordination across the far right in Ireland now to stir both left and right in the hopes of creating a race war. Think critically! Fascists see the tragic killing of #georgenkencho, the grief of his community and pending investigation as a flashpoint for action.


Across Telegram, Twitter and Facebook disinformation is being peddled on the back of these tragic events. From false photographs to the tactics ofwhite supremacy, the far right is clumsily trying to drive hate against minority groups and figureheads.


Declan Ganleyā€™s Burkean group and the incel wing of National Party (GearĆ³id Murphy, Mick Oā€™Keeffe & Co.) as well as all the usuals are concerted in their efforts to demonstrate their white supremacist cred. The quiet parts are today being said out loud.


The best thing you can do is challenge disinformation and report posts where engagement isnā€™t appropriate. Many of these are blatantly racist posts designed to drive recruitment to NP and other Nationalist groups. By all means protest but stay safe.
TRADING
Gordon Gekko
Gordon Gekko
@GordunGekko
A small thread on momentum investing and how I practice it.

I use the Nifty 500 universe for selecting my momentum stocks. Nifty 500, as the name suggests, has 500 companies in it. WRONG !!!! It actually has 501 companies. Yes, I double-checked šŸ™‚ So, these 501 companies is

my talent pool (if you will) from which I select the 50 best candidates that I want to bet my money on.

Ok. So, exactly, did I go about doing that.

Step 1: Start with Nifty 500 universe (501 companies)

Step 2: Eliminate all those companies which have a listing history of

less than 1 year. This eliminated 25 companies (see table).

Step 3: For the remaining 476 companies, I computed their last 12-month rolling price returns (meaning, comparison of their price as on March 31, 2022 as compared to that as on March 31, 2021, and then computing the %


gain that each of those stocks have earned. I found out the following:

a) Average return of all the 476 companies was 43.27% (meaning if their average price as on March 31, 2021 was 100, then their average price as on March 31, 2022 was 143.27)

b) Out of these 476 companies

140 companies, gave a negative return.

c) Out of the balance 336 companies, 46 companies gave single-digit returns

d) Out of the balance 290 companies, 101 companies gave a return between 10-30%

e) Out of the balance 189 companies, 55 gave returns between 30-50%
TRADING , TRADING GUIDES
Aditya Todmal
Aditya Todmal
@AdityaTodmal
Over the last 18 months, I have scaled my income to around ā‚¹10,00,000 or 10 lakhs per week with drawdowns below 10%.

How?

@niki_poojary taught me how to form a weekly trading plan.

I'm going to share what I've learned in this thread.

Here's the simple 10 step process: šŸ§µ

1. Check on the daily chart if Bank Nifty is in a higher high or lower low:

A higher-high (HH) is a bullish pattern, it signifies that it is difficult for the market to go down.

If that has formed on the daily chart, the market will give all the surprises on the upside.


If the market is in a higher high mode, look for good opportunities to sell puts.

Usually, at a higher high, traders buy on breakouts and also buy the dips.

If you want a good Risk-Reward, you can sell puts on a dip. (Only if it's showing some reversal)

2. Take High Probability Trades

Simply knowing a higher high or lower low does not make money. It gives you a bias for the week.

Still, you should try to take higher probability trades that align with your view of the market.

This will get you consistency and a good mindset.

3. Support & Resistance

I would say Support Resistance is the most important and favorite thing for @niki_poojary.

She keeps updating these levels with charts on her Twitter handle during live markets daily.

Attaching some examples will do a detailed thread on this later.
ALL , TRADING

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Tej Dosa \U0001f602\U0001f9e0
Tej Dosa šŸ˜‚šŸ§ ...
@ComedicBizman
(A THREAD)

18 Things I Would Do At 18:

I was a dumb 18-year-old. I thought I had the world figured out. I didn't.

I stayed up till the wee hours. Drank every liquor invented.

Partied non-stop. Woke up after noon.

Surfed the web aimlessly.

Read BS self-help.

Repeat.

If I could do it all over again, here's 18 things I would do...

PHASE ONE: GET MY MIND RIGHT

ACTION #1: Break the chains - I wish I made the decision earlier. I didn't. I was scared. Anxious. Nervous. I knew once I made the decision, there was no going back.

Don't be like me.

Make the decision at 18. The decision to pave your own path in life. To go against the herd. To choose your own adventure. To commit to whatever sets your heart on fire.

ACTION #2: Cut off every negative person in your life.

Scroll through the contacts in your phone...

Notice how the names make you feel.

Delete any and all names that fill you with doubt and negativity.

ACTION #3: Condition your mind to embrace the producer mindset instead of the consumer mindset.

Consume 20% of the time. Produce 80% of the time.

Case closed.

ACTION #4: Set an intention to make $10k a month and write it out every MORNING and NIGHT as if you already achieved it (in the past tense).

Visualize yourself already having the money as you write.

Cheesy?

Yes.

Does it work?

Yes.

PHASE TWO: EDUCATION
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Greg Olear
Greg Olear
@gregolear
Strange things are afoot at the Circle K. Letā€™s sort it out.

[THREAD]


1/ Two nights ago, Rupert Murdoch called on Mitch McConnell, after hours. Since then, two Fox News-related Twitter accounts have not tweeted.

2/ Trump fired Sessions on Wednesday, replacing him with human dildo/Putin collaborator Matt Whitaker. Sessions had asked to stay until Friday and was told to leave immediately. So there was clearly some urgency to install the dildo...er, puppet.

3/ The Democrats won the SHIT out of the Midterms. Come January, the House check on Trump will leave him so hobbled, heā€™ll be like the dude from Misery.

4/ Trump went to Paris, ostensibly for an Armistice Day centennial event. He skipped the event, and much of the dinner tonight, because of ā€œweather,ā€ which everyone seems to agree is a bullshit excuse.
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@HiteshAwasthi89
Sri Maha Bhairavar Rudhra alayam, Chengalpet, Tamilnadu

This temple is being constructed merely on the instructions from Bhairava by his devotee Shri Bhairava Siddhantham Swamy. The Temple is fully enshrinedin a transparent glass enclosure..1/n


with Rudrakshas on both the sides of the entrance This temple has a circular Sanctum Sanctorum which has twelve stepseach representing a sign of zodiac and after that twelve steps we find the supreme deity of this temple Sri Kshetra Paata Bhairava. 2/n


Beneath the Bhairava, in the lower level are installed the Ashta Bhairavas, SapthaRishis in the form of stones, and Saptha Kannis in the form of brass lamps. Thereare a number of little blue and white lights in the ceiling that is shaped like a dome.. 3/n


which give an ethereal atmosphere when switched on. The steps representthe twelve signs of the zodiac and when one steps over them to reach thesanctum sanctorum all the doshas pertaining to the horoscope are cleared onceand for all..4/n


The Sthala Vriksham ā€Peepal Treeā€ which is grown on a pedestal, a trident which is considered as Bhairavi, Pancha Mukha Anjaneya, Prathyankara Devi, Subramanya, Rudra Vinayaga, Vaishnavi Devi, Naga Rudra, Eswara, Vana Durga etc. 5/5

#IncredibleBharat
#DekhoApnaDesh
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Daddy Files
Daddy Files
@DaddyFiles
This is my son, Sam. Heā€™s 5. And today he learned how shitty and harmful #ToxicMasculinity is. My rage meter is spiking right now so excuse me if this is a little raw but there are some things I want to say about BS #gender norms (a thread)


Sam is my middle child & heā€™s a terror. A ā€œboyā€™s boyā€ as so many (not me) would say. Heā€™s rough and tumble, heā€™s loud, heā€™s always dirty, loves trucks, plays sports and knee drops me from the couch. But he also loves a lot of ā€œgirlā€ things.

Sam has a collection of purses because he likes to carry things around. And he also loves to have his nails painted bright colors because he thinks they ā€œlook beautiful.ā€ And heā€™s right ā€“ they are beautifulā€¦


So he proudly wore his red nail polish to kindergarten this morning because Sam has absolutely no concept of nail polish only being for girls or reason to think anyone would possibly have a problem with beautiful nails.


But his classmates did have a problem. A big one. Sam was ridiculed for being a boy with nail polish. They called him names and told him to take it off. This lasted the entire day.
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Lumina\u2728
LuminaāœØ
@Anaphora_Lumina
I present to you all, my (possibly) superthread On how and why the Unknown God from Genshin Impact, and The Herrscher of Void/God Kiana/Sirin from Honkai Impact!

First off! Weā€™ll start with the obvious things that constitute a possible connection.

They share the same Japanese Voice actress! Rie Kugimiya.
Usually this is a stretch reason, but considering everything else, itā€™s not unlikely that itā€™s the same character.

Secondly, their Appearances.
The both have very long white hair with identical bang style, and a very noticeable small piece of hair on top that curls upwards. Thatā€™s a defining part Of all of Kianaā€™s hairstyles, and for it to be shared with this god says something.


Another notable thing is their eyes. They both have Glowing golden eyes with very similar appearances. They contain a ring, and a 4-point star pupil. Resemblant of a scope if you will. Thatā€™s The Herrscher of Voidā€™s defining characteristic


If youā€™d even like to take a look at their outfits, thereā€™s resemblances including the black fur collar, the designs on the torso and chest, and the use of something similar to coat tails/skirt. The Herrscher can change their outfit and they arenā€™t stuck with one. Sirin does this
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