Paper Trades Report for Sep 19, 2018
Market was within trading range today. This condition is ideal for our short term ATM Call trading System. System generated 6 Buy to Open and 3 Sell to Close signals.
Following table gives the trade details.
Our trading rules for short term trades using ATM options are as follows:
- Be very conservative to open an options position.
- Once a position is opened, be very aggressive to close open position to avoid value erosion due to theta decay or Implied Volatility (IV) collapse.
- Position close signal gets generated based on following criteria:
- Day’s high price is hit OR
- When accumulated profit is > 20% OR
- End of the day OR
- If held overnight Followng day high Irrespective of gain/loss