Originally Posted by shiree

IMO, buy initially at the start of new expiration cycle is correct till first week when the speed of decay is slow. And look to sell current expiry and/or buy 2month expiry in combination or alone. Speed of decay(Theta) will increase in last 15 days to expiry.

Considering the illliquid status of MOST options even in the current month, its simply not realistic in todays scenario to have a look at 2 months expiry option.
Just have a look at the spread of the 2 month expiry option, things will be clear!!!
Only a few Options likeNifty, Reliance etc. are fluid and that too in current month all else are difficult to get at fair price!!

Just my $0.02

Oops! another new thread to be added to view on regular basis.
but I think it will be beneficial for all option traders including me(the most novice one).
Regards

Well thks seriously appreciate ur suggestions.My only tool is Direction rest .......all Methods .......how to best utilize it would eventually evolve by ur active guidance.

Will look for Xyte's posted video after Mkt.
It is difficult for me to explain ,you may feel that i must be knowing how to tackle the Volatility etc to benifit,well have some Concepts but as of now no codes nothing until i get a Hang on the matter by putting Actual Money and atleast few Trades by then when i start loosing then probably i may become so foccused that people around me may feel that my dear one had an accident and i am spending sleepless nights becoz of that,the only way to learn in my sylabus is the Hard Way.

Originally Posted by rkkarnani

Considering the illliquid status of MOST options even in the current month, its simply not realistic in todays scenario to have a look at 2 months expiry option. Just have a look at the spread of the 2 month expiry option, things will be clear!!! Only a few Options likeNifty, Reliance etc. are fluid and that too in current month all else are difficult to get at fair price!! Just my $0.02

Yes , was speaking of Nifty only. You are absolutely right about the illiquidity of many stock options.
I am unable to find a good Option Instrument like Optionvue is for US mkt. Where one can scan the whole mkt for Overbought /OverSold status of option premium. If we find one then Option Selling is the best idea in stocks.
Seediff (my FNO) is not trouble free, I am unable to install it.

Originally Posted by shiree

Yes , was speaking of Nifty only. You are absolutely right about the illiquidity of many stock options. I am unable to find a good Option Instrument like Optionvue is for US mkt. Where one can scan the whole mkt for Overbought /OverSold status of option premium. If we find one then Option Selling is the best idea in stocks. Seediff (my FNO) is not trouble free, I am unable to install it.

If u get short signal on cash scrip. Always a nice idea to
short ATM call with price limit... U may catch someone
trying to buy that call at un-reasonable premium

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The 5200 Put from 258 it came down to 248 at opening and now slowly regained to 258

From 265 fell to 238 like a stone.

Means no hanky panky have to remain very foccussed like NF trading.

Yes sir .. my 4900PE from 109 to 96 like this ....
And here SLs may get jumped too .. something like gaps ... trigger will hit but sell price is stuck bcoz range has moved ... this another problem with options .. irrational pressure on premiums pricing ...

The difference between bid/ask is also Rs 5.00 !!!!!!!!!!!!!!