Nov21-W4: I shorted puts as the market fell, to make good money

Nifty began with a bang on Monday and kept falling most of the day. As I have been making good money via mean reversion style, I decided to go for it and shorted 16900 PE. To my surprise, the market went red on Tuesday morning. I followed instincts and went for all-in.

Did I have a solid plan? No

Is this how I want to trade in future? I shouldn’t but then shouldn’t I take such chances for the inevitable losses when they come?

Luckily, the market went up and the rest of days were the usual.

So I traversed through the following candles:

Here are the results (adjusting capital deployed to what is being shown in Zerodha but I am finally trading with more than 10 lakhs J )

Net Profit (after deducting brokerage)Capital deployed (approx)Week’s ROIAnnualized ROI for this weekTotal no. of weeks traded till todayAnnualized  return till today
Rs. 16649.82Rs. 1001008.181.67%135.8%2447.94%

The following is breakdown of week’s positions:

DISCLAIMER: I am not a SEBI registered adviser. All the information provided on this website is for educational / informational purposes only and should not be taken as investment advice.