nifty index 50 trades

Jul21-W4: Nifty Index 50 Option Trades Beat Target CAGR

Nifty index 50 could not keep calm last week as it dropped all the way till 15600. Even though I was expecting this to happen, my strike selection was not good. I should not take unexpected July 19 gap-down as an excuse especially when I had been anticipating such drama in my blog posts earlier. I should have adjusted strikes on Monday.

The P&L screenshot below does not tell the story. I was witnessing an unrealized loss of more than Rs. 4000 or about 0.65% of deployed capital. I have made a note of it. When I reach week 13, I shall be updating P&L numbers on homepage and this drawdown will also be posted there. Hopefully, this shall be the max drawdown.

So I sold OTM strangles from Jul 16 to Jul 22 whose daily candles were like this:

Here are the results:

Net Profit (after deducting brokerage)Capital deployed (approx)Week’s ROIAnnualized ROI for this weekTotal no. of weeks traded till todayAverage CAGR till today
Rs. 4,048.75Rs. 6,47,1500.549%32.98%643.63%

Where annualized ROI for week = ((1+week’s return in decimal)^52)-1)*100

The following is breakdown of week’s positions

1 thought on “Jul21-W4: Nifty Index 50 Option Trades Beat Target CAGR”

  1. Pingback: Jul21-W4: Gap openings deserve strike correction

Leave a Comment

Your email address will not be published.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