Prashant Mullick⚡ Profile picture
Jul 26, 2018 3 tweets 2 min read Read on X
We are discussing $FB options on the @GreeksCap #GSRCommunity room.

Come and join us there.

greekscap.com/gsrinvite

#OptionsTrading
We put on a bull put spread for Aug expiry at 160/155 on $FB for a credit of about $0.9

@Naveen_Joshi was gungho and went with a 1:2 Put Ratio with 165/160 PE $3.15 cr.

#OptionsTrading
Sorry typo this was the 165/160 put spread for 90 cents.

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More from @VohiCapital

Sep 16, 2018
Don't get into #OptionsTrading with less than 25L if primary engine is #OptionSelling

2/n
Don't create focus on return in trades.

3/n
Read 20 tweets
Aug 13, 2018
Traders need to check their ledger not daily MTM PNL statements.

Selling of deep ITM options to hide and carry forward losses is a common practice amongst unscrupulous "sub-brokers" illegally managing others money in #OptionsTrading.
There are no mandates from @SEBI_India on allowing "sub-brokers" or any party to trade and manage client funds in #OptionsTrading.

Certainly no mandate to take leverage of the sorts usually taken.
@SEBI_India Even AIF Category 3 norms don't allow leverage upwards of 2.

Beyond that, even an AIF cannot solicit funds from the public openly.

More on these norms here:
sebi.gov.in/sebi_data/atta…
Read 4 tweets
May 29, 2018
The God of #Options #Greeks is often disregarded and has no mercy, especially on #Options #expiration day.

A #Thread on #Gamma.

#OptionsGreeks
1/n
The primary feature of #Options is their non-linear payout.

Most traders understand that #OptionsPricing is dependent on the price of the underlying, but the response is non-linear. #Gamma is the variable that describes this non-linearity.

#OptionsGreeks
2/n
Loosely, if #Delta is the speed of the #Options position, #Gamma is the acceleration.

#OptionsGreeks
3/n
Read 15 tweets
May 27, 2018
1/n
A lot of chatter on my TL about the #edge in #OptionsTrading, specifically #OptionSelling.
A lot of good information but some mis-information being spread as well.

A #thread.
2/n
First off, #OptionSelling by itself is NOT an edge.

Simply by selling an instrument that decays in value over time, doesn't give one an edge towards profit. It is accompanied by short gamma and rising #volatility working "against" you.

#OptionsTrading
3/n
The #volatility #edge or premium expresses itself when the underlying moves "less" than the move that is priced in the options.

#OptionsTrading
Read 17 tweets
Mar 12, 2018
Some of my #takeaways & #notes from various #DECMA sessions this weekend. (1/n)
By @madan_kumar
- Build a rock solid trading plan
- Treat trading like a business
- Limit your time spent with the trading business
- Take the extra time that trading allows you to have and spend it with your family
(2/n)
By @Raminations
- Use all experiences positive and negative for building future plans
- Understand the products you are trading to the smallest details
- If a position or trade is giving you sleepless nights, get out of it immediately the next morning.
(3/n)
Read 19 tweets

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