In the unpredictable realm of options trading, where profits can soar to the skies or plummet to the depths, I found myself in a precarious situation. It all started with a seemingly promising Straddle Long strategy involving monthly options for BANKNIFTY23OCT44000PE and BANKNIFTY23OCT44000CE. Little did I know that the market had its own plans for my investments.
The Initial Move (9th October) Long Straddle:
I initiated my trade with hope and anticipation. BANKNIFTY23OCT44000PE was acquired at 493, while BANKNIFTY23OCT44000CE came at a price of 478. However, the very next day, the market threw a curveball at me, compelling me to reconsider my approach.
Strategic Decision-Making (10th October):
Thinking on my feet, I decided to close BANKNIFTY23OCT44000CE at 583.3000. To hedge my remaining position, I sold the weekly expiry BANKNIFTY23O1144000PE at 105.0000. A subsequent market shift led to the closure of this position at 36.15. Undeterred, I sold the next week’s Put option, BANKNIFTY23O1844000PE, at 162.850 to keep my position hedged.
Amidst the market turbulence, I adopted again and closed BANKNIFTY23O1844000PE at 108.3000 around the end of the very next day. Then by selling the two-month expiry contract of BANKNIFTY23DEC44000PENSE at 600.1000, tried to get a stable footing with positional view. As the market played its volatile games, I held my ground, allowing my strategic maneuvers to unfold over time.
The Triumph of Strategy:
Today, on the 13th of October, I find myself in a position of strength. The market has circled back, aligning itself with my initial trade. Through strategic decision-making, timely hedging, and unwavering determination, I have managed to neutralize my loss-making positional trade. This journey taught me the importance of adaptability and strategic foresight in the ever-changing landscape of options trading.

Date: 10/26/2023 Thursday Monthly Expiry Day

Both options are now trading with almost similar changes in delta without much difference.
New Opportunity




Position as on Monday 10/30/2023
Lessons Learned:
- Adaptability is Key: In the world of options trading, being flexible and adaptable to market movements is crucial. Quick thinking and strategic adjustments can make all the difference.
- Hedging for Security: Hedging your positions can act as a safety net during unpredictable market conditions. Selling options intelligently and at the right time can mitigate potential losses.
- Long-Term Vision: While short-term gains are tempting, having a long-term perspective can help you weather market volatility. Patience and confidence in your strategies can pay off in the end.
- Continuous Learning: The world of finance is ever-evolving. Continuous learning, staying updated with market trends, and refining your strategies are essential for sustained success.
In the intricate dance of options trading, where risks and rewards intermingle, my journey stands as a testament to the power of strategic planning and resilience. As I look ahead, I am armed with not just the lessons from my triumphs but also the wisdom gained from my challenges, ready to navigate the future of trading with newfound confidence and expertise.