Best way to make 2-3% every month………..
Sell option depending on market direction about or above 150-200 points away from CMP on the last FRIDAY before close. The chances of it getting hit is very poor. Even if it gets hit, the risk-reward is very high.
Buying options is good for persons who can spot market turns in last 10 days of market before close. NEVER OTHERWISE.
For example try it this month on paper trade……………..
Abe
From:
Sent: Saturday, January 30, 2010 5:57 PM
To:
Subject: RE: [sharetrading] Intra day
Dear sndp
making money in buying options is a losers game.. are these hedge funds putting hude margin money to sell the options to you fooks to allow u to make money???
I was in a conference on F&O where they were advocating the easy way of making money in options and how risk free it to just take exposure if small amount and make unlimited profits.
After the presentation, i had the chance to meet the speaker backstage. This was during the initial years when badla was banned and NSE brought the Derivative trading.
I asked him, "why then buy stocks, when you can make money so easily?"
His reply was. Options are like the insurance policies. The insurance policy sells you a policy not with a idea that you wil die, but make sure that you will live longer and keep paying the premiums.
what he said was, 95% of the option buyers end up expiring the options as worthless only 5% may make money.
The sellers from whom you buy have different strategies and deep pocket. Even if one of the options they sell is in loss they cover that with some other methods.
Please expose
Kumar
To:
From: efan159@yahoo.
Date: Fri, 29 Jan 2010 22:38:50 -0800
Subject: Re: [sharetrading] Intra day
Dear
Dear Abe sir, I lost my capital at Last Expiry..... now I havn't much to invest again ....but anyway to get back my old losses...i re-invest 1/2 of my loss i.e 50000...... pls suggest me what should i need to do? which stock is much sweetable for me to get a quick return... I loss my money in 5100,5000,4900 calls.... pls reply and give me a good suggsion rgdrs SNDP
From: A P Abraham <abrahamap@airtelmai l.in> In all probabilities today would me my last trading day for sometime. But will keep it in mind for Monday/Tuesday if I am trading……….. Abe From: sharetrading@ yahoogroups. com [mailto:sharetradin g@yahoogroups. com] On Behalf Of kk s abbe sir!! can u plase write the time u send the call ??? it seems we are receiving the emails a bit late. something like Triggered out. SHORT – EXIT @ 2:31 To: sharetrading@ yahoogroups. com |
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