Paper Trades Report for the week ending Sep 28, 2018

Weekly Report Cover Sep 28

As market is going through a bit of volatile period, there were less trade signals generated this week. However, current situation in market is also opening out possibilities for short term ATM put trading. Hence from next week ATM Put trade Signals will also be posted.

First table below gives the details of all trades that were opened and during the week. The second table posted below shows all the trades that were initiated and closed during the month of September, 2018.

Our trading rules for short term trades using ATM options are as follows:

  1. Be very conservative to open an options position.
  2. 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.
  3. 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