Apr22-W4: Some confident and some lucky trades bring good profits

Apr22-W4: Some confident and some lucky mean reversions bring good profits

The week again started with a very big gap down. It opened way below 17200 level where I was expecting it to find support. I did not have much confidence to be very aggressive on mean reversion. Therefore, I sold only a couple of 17000 PE options. I should have sold more.  

The rest of the week was quite standard except Thursday. The market kept going up relentlessly. I gave in to the temptation of mean reversion. I sold 17300 CE strike even though the charts were not that solid. I had to average continuously for management. Overall, the quantity became 1250.

I was not able to time the exit. I got greedy and kept waiting. It got a bit nervous actually but I got a lucky red spike and exited. It is another story though that I could have tripled my profits had I kept those options till expiry. But you never know, do you

Net Profit (after deducting brokerage)Capital deployed (approx)Week’s ROITotal no. of weeks traded till todayAverage weekly  return till today
Rs. 24,073.57Rs. 15,16,8541.58%31.41%

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.

Leave a Comment

Your email address will not be published. Required fields are marked *