Option Selling Secrets || Live Trading || Anish Singh Thakur || Booming Bulls
Hello Everyone My name is Anish Singh Thakur Welcome back To the special episode of Future and Option Series Where we will do Option selling today Why we did this option selling? What was the reason to sell the options? Why didn’t we buy Put? Why did Call was short? How much return we made? What was the risk management? How much we put on risk and how much we earned? What was the dynamic of this trade? These all things you will be learning in this video That when to do option selling? Why we? Even though we earned less money But we earned tension free money How? You will get to see in this video This video is not very long That is why You should see this calmly I mean it’s not long Still, you should see this properly That keep pausing, Like it, see it calmly Use good headphones Okay I will meet you in the end of the video Alright guys So, this is the time When I will explain you That how exactly we are See this is the 5-minute time frame Market has been opened And after consolidated it properly With big breakout Our pretty good target has been crossed 15900 okay Now market has given good stretched And here it will take a rejection Now this Here if I give my point of view Intraday Like right now the time is 10:30 means it’s 12 o’clock Right its 12 already Right now, my Right now, my analysis says that The market is stretched This has to take one pull back Before moving further ahead Should go up after taking a pull back So, this means that If it gives very big fall or not Or else it consolidates here So here instead of buying put we should do call short We have to do 15900 15900’s call short Rs 54 What is the difference What will we get? We have to short one lot Somewhere Rs 1.5 lakhs required While doing buy While buying Put 5-7 thousand But here its 1.5 lakh So today we do this So I am going to sell this And see Now I will Give me 2 minutes Let me calculate how much I have to sell Now I will show you a thing Let me take you to the basket Here I will create new basket SELLING Let me click on Selling If I will do simple selling Simple selling means NIFTY 15900 If I will go to simple selling I have to do call short Right Have to do Buy Put and Call short You know For selling we have to Remove this How much amount does it cost? Just one minute That one It’s taking 1.5 lakh rupees If I add this And one far If am doing short call for hedging this Hedge means if I am short some call and if something happens wrong with me So to hedge this I will buy a call Too much out of the money Means why out of the money See now If very big moment has come So I need an insurance So let say 15000, 16000 right 17000 NIFTY Which we won’t get to buy I am telling you this way 17000’s call It won’t let me buy this Okay See we are doing intraday trading So here also I can do this intraday trading Okay I can do this Intraday 1 lakh Right now it’s taking 150 116 will take here I have modified this 114 is taking Now if I buy NIFTY 17000’s call simultaneously You see I have added See My margin is asking almost this Right now it’s asking for this If I say that you execute first So in this 76051 So see I will execute this It has been executed It’s got Rs 76000 instead of 1.5 lakh Now what is it Where was this? I am exiting this Because we will do Intraday trading See what happened? See what will be my loss? Loss of 45 paisa Means zero I took this only to get the margin benefit I can do short in less money My total, total strategy is that Market is not going beyond 15000 From here it should fall or else go sideways It should not go up Fine okay Now I am So stop Now I will increase some more positions So the thing I want you to understand See to short 1725 I have removed everything else from this account Only and only right now 92000 is available It’s showing Okay What is it showing? Available balance is 92000 in this account I only kept around Rs 26 lakhs I withdraw the entire amount Whenever I feel I added Anyway, things to learn is That We the market doesn’t go up either it’s go sideways or go down See, I have done a naked short 1725 so how much money does it require to short 1725 To short the rate Wait I’ll show you To short 1725 it takes Rs. 26 lakhs I have short that much The balance is showing only Rs. 92,000
if I buy very far out of the money Only to gain the margin benefit It is only of 40 Paisa No hedging would be there in reality But Only if to receive the margin benefit I short the same quantity Then it will not happen But you have already short that’s why you can buy it out of the money There is an expenditure of Rs.690 As soon as I bought it The same quantity came Because I have shorted the call If there is some mishappening then call buy will give me an insurance See suddenly the margin is increased to Rs 10,00,00 No from these Rs 10 lakhs I’ll show you See, how can one retailer use their limited money again and again Now we can short it more See, there is a call of 15,900 We will short it from Rs 10,00,00 more See, approximately we can I’m telling you that how we can If I sell it now, sell in the market Then how much money left? 91,000 is left Now how much quantity did I buy 1725, How much quantity did I buy? I wanted to show you this In Option series How are you can use it in your benefit, all the retailers So should I buy 600 quantities See, I buy 600 quantities And you’ll have fun seeing this There is an availability of 91,000 Four lakh has come You see how am I using that money itself Now how much money has come Four lakhs have come We will short it again for Rs four lakh See, we do nothing for earning money How much 464 do we have? 4,12,000 see We have already short three lots Left with 66,000 Bought three lots See how are we getting margin benefits Again we got one lakh Again we short it We can short one lot under 1,87,000 We short it You have to buy only one lot We bought it Again we have got one lakh We short one lot Now cannot do, Of 1,12,000 Guys, See What did I do in front of you? I could have only short 1725 quantity Only and only 45 Paisa Put insurance of Rs.600 that it becomes zero But it won’t become zero because today is not the expiry day But here in this Rs.56, Rs 2 have been decayed I Will get some or the other Decay So around Rs 26 lakhs Used it without any tension There is only one probability in the market That if market, what does it do Only and only market what does it do? If market goes in an upward direction with the power Then only I have loss here And a good bullish momentum comes Of which chances are very low, Why? Because the second half has come I have told you What is the most important thing? The most important thing in the market To study in the market that how is the market’s movement Markets movement is always like breakout Consolidation, Break out flag and Pole Market has to take a haul obviously You are going to break an all-time high If you have to break all time high If this is an all-time high for example You have to break it then Then you think you’ll break it like this You think you’ll break it like this Like this, this , this, this And you’ll break it like this No, guys If the market movement is like this, then obviously you have to take a little retracement here Or you have to take a little consolidation But the chances of this are very high Chances of this thing are very high Chances of this thing are very low So buy Put here is a very stupid decision Here short the call It is not a very big thing that they had short the call Everybody knows how to short a call I have told you to short the call and buy an extreme out of the money call That you buy it and after buying what you can do here is After buying You can have a benefit See I can add more funds But I use a capital of approximately 1 CR But I keep only Only that I have mentally planned to use If I have to do Option Selling I could put more But my main purpose for today was not Option selling My main purpose was to continue the Option series that I am making and to make you understand Exactly Exactly how and when to do Option Selling Now, what is the scene of risk management See this is all time high This is my stop loss means Above this the market only and only a stop loss of how much points From 904 to 916 But I will tell you if it is showing a loss of Rs.93 No worries Why? Because the market recently is trying to give some bullish momentum As soon as it comes down and have a theta decay Will hold it till 3:30 Hold it till 3:15 Have taken the MIS position deliberately Without doing anything See how much money is invested in risk Now you see, risk will also show a loss of 1000, 2000 See, When it will do big green momentums It will show little red It will show red As soon as it shows a little red momentum It will be a fast Decay You can see It will be a very fast Decay now, right now you’ll get to see it Wait Right now it will stretch itself We will touch this My risk management is this much only As soon as the all-time high is made Where is my all-time high? See, this is my all-time high right Then I 915 A red candle is made Now You see here How fast will it come from 3000 to here? So one red candle is made in front of you Then I can explain to you How is theta decay done Can you all see it Here the problems faced by the Option buyer There is a benefit to the Option seller See, the market will go down a little Our loss was of 3-4000 Instantly we got a profit of 2000 Now, here we have to leave it Risk management is a very small risk-reward See red candle is made But here will easily get a profit A stop loss is only and only 10 rupees That Rs.10, See
The market will give a breakout above Rs.10 If it gives a closing, If the market gives a breakout on above this and gives the closing And again breaks this high Whenever this Then here I will take my stop loss That would be definitely risk reward ratio it’s better than The reward I am getting better than that so My stop loss is this So we will wait That a high is made And where exactly we will put a stop to loss The chart will tell us See, I will tell you Just wanted to show all this See, right now what is made Right now Our stop loss is What is that? We will put a stop loss of Rs.59 It has made a high of Rs.59, okay? It has made of high of 59, done? Now 6000 profit is visible Now if you want we have Rs.59 Our target How many targets can we try for us? We can try for Rs.36 Or Rs.40 We can try a target of Rs.10
You can try of Rs.10 also But let’s see Let it spend some time guys Maybe If it breaks its high once And then whatever high it makes On that Then if you ask me Stop loss 60 Then 10 If I talk about earning Rs.10 then I can put Rs.10 on risk also But still it's stop loss As soon as it breaks this I’ll take a stop loss here according to the index stat, Okay? According to index stat, I’ll take my stop loss When it breaks this and take over this high Okay? In selling What happens in selling is? You don’t get that big win size But the win rate is really high Right now our chances of winning are too high our chance of winning this trade and earning money is too high Because of theta Decay Only and only have to see under 2 to 3 hours If the market closes near to 15,900 Then how much money will we make Even if this comes and gives us breakout And when it Consolidate again And even if it comes down will earn money again There is only one chance There is only one chance that we are losing money I will tell you that On above of 15,915 Closing is on above 15,915 15,915, there is only one chance That there is closing above this, breakout and Today only, There is only two or two and half hour left for the market This is going to be my stop loss As per this index chart, okay? Now here guys, the win rate Here it will use this probability Now how can we win So this is our loss And this is our profit This is our profit This is our profit This is our profit Look at this How many chances do we have To make money Only there is one condition that when it breaks out and goes up So My win rate is really high then So in this a lot of times there is not that good risk-reward in selling But the win rate is very good Win size is not good but the win’s rate We have done Option buying yesterday In that win, size was really high The win rate could be high But I manage my win rate By only working out at the best opportunities Right now nothing best There are no best opportunities There is a normal, a simple psychology That look at the market structure Market works in the wave of one, two, three Market is overstretched It has to take a pause Go consolidation and come down So to break all time high like this will require some hard work That is why I am sharing this with you Now this is what happen in Option selling After seeing this You keep on thinking that What will happen What will happen But you have to give me some time, Okay? Right now the time is Right now the time is around 12:20 We are not going to do anything till the market shuts You’re only going to take action in one situation And what is it? We are going to take action in this situation, Okay? To hedge our position, we have bought and out of the money call But basically, this is for the margin benefit And who needs margin benefit Retailers Who has Rs 5 lakh for selling 2 -4 lakh or 5 lakh See in 2 lakhs you’ll only get one lot Who has 5- 6 lakh How to use that Rs 5-6 lakh smartly? That’s what I told you Bro whatever point you feel like to short You short that Now you used to short 16000 also But you will get more money here At 16000 you might have earn less At 16000 you’ll get less decay Because already its price is low If I went for 16000 call I can only get Rs 18 So in this we will not able to get any decay That’s why I short this one Ok this was better choice This is safer choice But for Intraday this is better choice Ok So now This is very safe situation Because probability of our winning is very high As our theta decay is doing And for telling margin benefit Where we have 1725 If Rs 26 lakh was kept in my account Then 2625 50900 So after do it 2625 50900 So after shorting 2625 When Where we need Rs 40 lakh means My work is done in Rs 26 lakhs only So who ever need 4 lakh work is done with 2.5 lakh You are understanding what I am trying to say Almost you have 10% 15 lakh benefits How much is 15 lakhs Here almost 40 % Almost 38% benefit you have earned here Now its Rs 11000 Because it is coming downwards I am telling you Now this will go down then come up If this only went like this and this and this We will get our benefit Okay Our benefit will increase here Slowly, slowly, slowly So today I am not in a mood to trade Still I am recording this video just to show When to make a selling decision When you are not sure if your put will work This put will only work when a nice wild down movement is seen here Then only it will work And it has to stay here But If imagine market from here went here Make double top Like this Then this If you want to this If this market become like this So my put will give me loss So that’s why we short call And option series…. New video Now I am telling you Straightaway If in the market give breakout above on this And again do high take out So how to exit I will tell you When we have to exit Should we exit here bro As per technical analysis ok Or otherwise whatever happens Will tell you accordingly If this happens I will tell you If not, I will meet you at the end of the day Ok One big thing I will tell you about risk management Telling about risk management is also important Otherwise someone may have suffered some losses So like my capital is obviously one crore So my risk will be If I take 2% also it can take up to 2 lakhs But obviously right now I have Rs 25 lakh in the account 2% of 25 lakhs is 50000 So if I risk Rs 50000 Okay Rs 50000 risk means I have 50000 plus 2625 quantity And if I do from 50000 and do 2625 So we can take Rs 19 stop loss Means 56.81
plus Rs 19 56.81 Means 75 rupees stop loss in this Over here in SLM Rs 75, Rs 76 stop loss I can put And I have put stop loss Okay Stop loss placed On 50000 losses over rate For 2% I don’t want to lose I can’t lose Means on 2% my risk is going On 2% So this will remove me automatically And this This one can give little bit profit It can’t give much because we have already taken lot of out of the money But may be something It means its equals to zero, It was for hedging I only take this to get the benefit only See according to risk management I have put in it I have put one Loss will not be above 50 But then will I get the reward of 50? That’s the trick People To those people who don’t know the Option Selling They judge that okay What it is? Your risk reward is not looking good No no no no Me See my whole work is that I can educate you as much as possible If I am here 1, 2,3, 4, 5, 6, 7, 8, 9, 10 Take 10 trades A set of 10 trades I am taking Listen to me carefully Its little bit different thing This is the difference in option buying and selling That if I am about to take here 10 trades For example Okay, See ok So in this my wins rate I am talking about Will go beyond 50% Easily even not 50 but 60% My high chance is that I will earn money in 7 trades Because 7 Because there is a 67% chance that market Or See I told you that It will come from here to here What will it do more? It will come here and then here Again if market will keep doing this We are going to make money If market will fall more We are going to make big money If market goes from here to come here We are going to make money We will win from 10/7 times Here 3 times we will loss Even if my risk reward ratio is 1:1 Not 1:2 still I will make good money So did you understand So as per my So, see A lot of… Risk management is very big topic Right now, if which risk management topic I am using? Which phenomena I am using? I am using risk per trade I am above 2% on a single trade I am telling you in the case of option selling Buying has different risk management I am telling you about selling Selling or say I am telling you about FUTs right now I don’t want to lose above 2% right now of capital Now See already we are red We are in profit It’s showing we are in Rs 25000 profit currently And can go up to 50000 Not a big deal So you have to take good probability trade Now this is very high probability trades That after this level It cannot break this And when it breaks this and will give closing Then also this will be not hit our system stop loss It’s a big stop loss It’s a good enough stop loss according to 2% Because Rs 25 lakh are there in the account If I add more capital And if purchase more quantities Then will adjust stop loss according to that Stop loss will remain this only According to this quantity It’s about quantity and this How did we divide that? How much loss we can accept 50000 will work for me So divided 50000 by my quantity 2625 And came to know that Rs 19 stop loss I can put Right Rs 50,000 divide by 2625 It’s around Rs 19 See Rs 19 I added Rs 19 into my average quantity So it became 75 And that we put it as our system stop loss We got 75 point something So we put 76 Now 50K This is our stop loss negative can be 50K And 10 times The thing is Law of random decision If I trade 10 times Out of 10 time I will 7times… Only 3 times I will lose 50-50 Will lose 1.5 lakh After losing 1.5 lakh 7 times I will make around You know 7 times sometimes I will make 40k Sometimes 50k sometimes 30k sometimes I will make 80k Like this my average Win will come out to be large Like this it is profitable in options in selling case I hope See this is very relaxed How relaxed we are feeling It isn’t like watch each and every candle or not even if what happens in Put one green candle appears profit gone but in this if market goes up reached till here and then came here whether 25000 to us we will get 15 or 12 thousand instead of 25000 but we will get something we will not close our day in red so let’s close it now now I will show you days end result so guys we have seen that in market after dropping a fall here if I buy put my stop loss would have triggered and I must have panicked anyways coming back to our situation 69000, 70000 profit is showing Now on this chart I will show you Now the situation is like this That the market recently done this Put one high Now again we will hold till market day end Here Here is my trailing stop loss 32 point 32 At Rs 33 stop loss I am setting now I will set 33rs stop loss And the matters end Now I have removed stop loss from there Now I will after removing this stop loss I will set Rs 33 trailing stop loss And either if you want we exit the trade also 33 stop loss I have put here ok This we can exit No we will not exit this First will exit sell one Otherwise will have problem in account What problem will arise Margin Why because we are using benefit If I will cut this I will get a margin call Means i will get a problem And I can’t do that So 33 is done Either we can See time is almost up Its…. You can see time right now is 3:00 o’clock Now we can wait 15 minutes more or we can watch this trailing stop loss We have already earned Rs 72000 Either we can exit now Or simple Rs 33 trailing stop loss we had done Now we delete this Simple option selling So now I will exit my situation here Why exit because market again Market has come to its day low okay And is approaching again And time is also up It’s 3:05 We will book our profits here We will exit this So this is your stop- loss wait This stop loss of yours like this you exit the stop-loss okay And this thing also At market price we will exit it okay So today we booked Rs 83000 by doing nothing Literally I fell asleep I am not joking After putting one stop-loss, I went to sleep Okay There is no problem in it, manage your risk and in option-selling win rate, is very high Because look, I am telling u today, it was a very good example I would have make money if the market moves from there to here or from here to there If market goes there and come here I still made money Just once chance only, I’m telling you Even if I went from here back to here Then also I would have made money Just one chance only going here- From taking support here A nice movement I mean guys look, in this option 75- For raising Rs 20, We have to do a lot of growth In option decay happens fast like this Look, not every day is, However today would have been good for our Option Buyer If a person had just short here at the double-top This would have been good for the Option Buyer, But for the Option Seller it was definitely good. So that’s it, let’s meet you on outro video Alright so you have seen how the market Because it was over stress situation Near resistance Near 15900 Was about to make all time high And gets rejection So in this situation, buying put could be dangerous Why dangerous? Because even though the market went down, took a pull-back But market cannot ignore such a big trend Market is coming with such power to break the resistance of all-time high It would have broken it If it had broken it, Then we know that in Option Buying loss will be high So what is the deal This is why it was stretch market I buy Put I short Call Because if the market went down sideways It was only three hours 12 to 3 am time If market goes sideways still it will give money If it goes down still it will give money Only in a situation if it goes up If it went too high, then our stop loss will hit It was Rs 15 stop loss Very nice stop loss we had In the end out of 80000 We booked 3.5%
And 2% was kept at risk I am telling you win-rate is high in Option Selling And win-size is high in Option Buying And win-lose lose-size is also big in Option Buying Which is why I didn’t do Option buy The day I don’t get conviction I don’t trade Or I would do some strategy like this And appreciate 2-3% And stay silent. This is my plan I hope you people understood Why Option-buying, or why Option-selling Do only Small-small Option Buying if there is a lot of conviction If A very good resistance from market is coming to you And if u don’t have to go against the trend Looking at all these, Option selling is done Alright so I hope u had fun Had something to learn This was a live example I mean everyone shares their strategies I have also shared many strategies with you I explained to you how Option selling is to be done That too with live example I have showed you today in this video So I hope you have got a lot to learn from this video That You are able to grasp it You people also try I already told you do from one lot or two-two lot Alright? And when I get a chance I will definitely make more videos like this for you Maybe I’ll show you strangle-straddle I’ll tell you the reasons also as to why I did it I would tell you all this in the coming series If you liked this series, then keep liking the videos And sharing the video And help me to grow this Booming Bulls family Which definitely all the retail traders is doing good for this community Its bringing this much content for free And I won’t say to you to appreciate me for bringing free content I am doing this because I like to share my knowledge By sharing I have to bring development for myself I have to study more I have to do hard work I am developing inside That’s why this is coming for you It’s not like I am doing this for you and I am doing for myself as well If you liked this, then definitely tell me about it in the comments On what your overall view is on our full series Now One very important matter that I want to tell very seriously For a trader, for a businessman, his business is everything For example, for a realistic businessman, his meeting, his deals, his properties All this is his business His office, Then what about us traders? We have no employee or anything We have ourselves, our laptop and internet Over. Now for a trader’s business Trader himself is very important, an important asset So if I invest upon myself Not with money But with time, knowledge, education, everything.
Then everything would be better for me I am telling you one thing guys If you traders want to keep your mind calm, need psychological power, I suggest you to do meditation Now what is meditation In my other channel Anish vlogs channel Now many will not subscribe why subscribe Then don’t subscribe, you do one thing Now you go, I already made a meditation series Seven chakras meditation There are seven chakras in our body We call it energy centres Many people are already following it I am not inventing something I am just presenting you same knowledge in a simpler way You come and Now a new series will be coming, let's assume Within 3 or 4-5 days within this week It will launch A video will come 7 days’ continuous meditation 7 chakras From root chakra to crown chakra If you want to become a part of this Then be and try it for a week If you feel a change then go and subscribe that Anish vlogs channel Or don’t subscribe it Come, follow me with my meditation series you will get amazing result in what? Mind-set! Peace! Right Mind-set like how to act in tough situations Obviously trading is very exhausting After trading mind will definitely need peace And you could think better Dealing with losses is hard So to recover out of those losses After winning how hard is it to stop our excitement To become a balanced person Check Anish vlogs channel for the new series Alright?! Thank you so much everyone! I’ll see you soon In the very next video bbye
2021-07-13 18:47
