Poor Man's Covered Call Strategy - High Probability High Profit Strategy
HTML-код
- Опубликовано: 15 сен 2024
- இந்த வீடியோ-வை தமிழில் காண,
• எளிய முறையில் Covered ...
Big Boy Covered Call
• Get Stocks Free in 4 Y...
Easy Rental Income for Investor - Power of Covered Call
• Easy Rental Income for...
ADJUSTMENT Secrets for GAP UP (INFY)
• ADJUSTMENT Secrets for...
ADJUSTMENT Secrets for Trending (RELIANCE)
• Adjustment Secrets For...
ADJUSTMENT Secrets for ZIG ZAG MOVE (HUL)
• Untold Option Secrets ...
Do we need to do adjustments in Options to make profit?
• Do we need to do adjus...
Limited Capital ? - Margin Management Secrets
• Limited Capital ? - Ma...
What is BEST (CASH OR FUTURE) for investment & Covered Call?
• What is BEST (CASH OR ...
Cash Secured Put
• I wanted to invest whe...
This session explains about Poor Man's Covered Call Strategy
1) What is Covered call?
Long in Underlying (Buy Nifty Future @ 11500)
Sell far OTM CALL (Sell Nifty 11700 CE @ 200)
Have downside break-even = 11300
Max Profit = 400 * 75 = 30000
2) Covered call flavors
Covered CALL - Long in Future
Big Boy Covered CALL - Long in Cash Market
Poor Man’s Covered CALL - Synthetic Long in CALL
3) Poor Man’s Covered call
Buy ITM CE Options in next month
Lower time decay speed in next month
Sell OTM Options in current month
High time decay speed in current month
4) Poor Man’s Covered call Example
Nifty is at 11500 in Sep 2020
Buy OCT 11300 CE BUY
SELL SEP 11500 CE SELL
5) Adjustments?
SAME as BIG Boy COVERED CALL
6) BENEFITS
If the market comes down, the loss would be less
ITM CE next month will not decay much
Hedges downside to some extend
Chance to get profit in both
Long - Market Went up
Sold CE - Market didn’t touch sold strike
Best for indices
ITJEGAN's In-Class Room Option Trading Workshop
👉Topics:
👉Enroll Here: rzp.io/l/G1rrn...
👉Schedules: capitalzone.in...
*****************************************************
Tradetron subscription link: www.tradetron....
Sensibull Subscription link: pages.razorpay...
*****************************************************
To Open a Trading and Demat Account, you can use the below link,
ZebueTrade: zebuetrade.com...
Zerodha: zerodha.com/op....
Motilal Oswal: www.motilalosw....
Alice Blue: abopening.onli...
Subscribe to CapitalZone : / capitalzone
Subscribe to our தமிழ் Channel CapitalZone: / @capitalzonetamil
********************************************************
Our Social Media:
Free Telegram Channel: t.me/itjegan
Twitter: / itjegan
Facebook: / capitalzoneitjegan
LinkedIn: / capi. .
Instagram: / capitalzone_itjegan
Website: www.capitalzon...
********************************************************
For more information and to reach us, use the below details.
Telegram/Whatsapp/Call : +91 9962143422
Email : contactus@capitalzone.in
********************************************************
#ITJegan #Capitalzone #AlgoTrading #ITJegantrader #ITJegantraderscarnival #Optionwriting #Optionselling #Straddlestrategy #Stranglestrategy #ITJeganoptionworkshop #ITJegancourse #ITJeganstraddlestrategy #ITJeganstranglestrategy #ITJeganworkshop #ITJeganOptionselling #CapitalzoneTamil #CapitalzoneJegan #CapitalzoneJeganTamil #Capitalzoneyoutube #Sharemarket #Tradingprofit #Optionstrategy #Taxpaying #Paytax #HowIEarnmoremoney
DESCRIPTION
Mr. Jegathesan Durairaj (itjegan) is a professional Option trader, strategist, Expiry trader, Trainer, and Investor. He is a mathematician by qualification, an Ex-software professional, and now a full-time Risk Defined Option Writer. With his Open Book Strategies, he is the most known identity on Twitter as IT Jegan, with huge followers. He has won 12 times on the Zerodha platform. He founded his own firm CapitalZone in the year 2018.
For Live Trades & Market, analysis Join my Telegram channel for Free
Search ITJegan in the Telegram app & follow @ITJegan on Twitter
t.me/itjegan
---------------------------------------------------------------------------------------
Discount Offer for Sensibull & tradetron Subscription, click here.
Tradetron subscription link: www.tradetron.tech/?ref=capitalzoney
Sensibull Subscription link: pages.razorpay.com/itjegan
---------------------------------------------------------------------------------------
To Open a Trading and Demat Account, you can use the below link,
ZebueTrade: zebuetrade.com/itjegan/
Zerodha: zerodha.com/open-account?c=ZM...
Motilal Oswal: www.motilaloswal.com/open-dem...
Alice Blue: abopening.online/CAPITALZONE/
----------------------------------------------------------------------------------------
Subscribe to CapitalZone : ruclips.net/user/CapitalZone
Subscribe to our தமிழ் Channel CapitalZone: ruclips.net/channel/UCke6ygIkcouKm7R3nLSyalA
----------------------------------------------------------------------------------------
WORKSHOP DETAILS:
Conducting workshops in all Metro Cities (Delhi, Mumbai, Bangalore, Hyderabad, Chennai, Kerala, and Coimbatore) is often based on queries from Traders.
👉Topics: capitalzone.in/topics/
👉Enroll Here: rzp.io/l/G1rrn8POy
👉Schedules: capitalzone.in/schedules/
----------------------------------------------------------------------------------------
For Trading Account Opening and Other financial services, can reach us at:
Phone\Whatsapp\Telegram: +91 9962143422
Free Telegram Channel: t.me/itjegan
Twitter: twitter.com/itjegan/
Facebook:facebook.com/capitalzoneitjegan
LinkedIn:www.linkedin.com/company/capi...
Instagram: instagram.com/capitalzone_itjegan/
Website: www.capitalzone.in/
5:53 the last line in the slide should read SELL SEP 11700 CE instead of SELL SEP 11500 CE
In text book terms, This is called as "Diagonal calendar spread"
Thanks for teaching this in simple way !! You are great!
Nobody, I repeat nobody will explain in detail like you. Hats off to your efforts. Thanks
lol nobody cares
Dear Jagan
You are the one person sharing your strategy instead of showing MTM profit to retail investors.
Thank you for your sole
What an analysis Sir 👏🙏You are God for people like us . Thank you so much Sir 🙏
Fantastically explained. Thank you jagan. It's my heartful thanks.
HEY ALL YU GUYS THIS IS THE GUY WHO MADE ME RECOVER APPROXIMATELY 35 LACS THAT TOO IN 3 MONTHS.
Can you tell us about the investment requirement and in which Script did you trade ?
@@shirkedance I traded with appropriate One crore plus and did his hedged option s and futures. I recovered a lot on futures.
@@pbose698 thank you for the Information.
@@shirkedance welcome in fact in a shooting or crashing market if you get the right direction you make huge profits but all has to be hedge.I did not keep stoploss as it will always trigger keep mental stoploss.
@@pbose698 that sounds Smart. Yes software stoploss never work. I agree with you
Sir poor man St. Is some what similar to long calendar spread. Only with difference of it formed by different strike price. Hope my guess is correct. Thanks for sharing your knowledge.
superb sir..with every video we are not only enriching our knowledge but also gaining confidence in dealing with options where we have our own mental block created by so called market pundits.
Analysis is good , but it is require Details example with fund will require for Poor man Strategy.
Sir pls cover every topics using charts, it is very tough to understand the presentation
One mistake in chart.. you wrongly entered 11500 instead of 11700 in current month expiry.
Sir, How you got this much huge knowledge, what are your sources of this immense knowledge, can you please make a video on it, a request.
Sir
What an excellent hard work you did.
Thanks jegan.. very good information..
The way you speak is so touchable
Thanks sir, all strategies you tell very good.
very helpful Jegan bro....Thanks..n God Bless...
Nice brother..👏👏 beautifully explained.
what a lovely hedge for call that's in problem. The surge in Oct call premium was nicely hedged by Nov long call, initiated when Oct call is about to go ATM.
Conceptually Good, You missed couple of points-It has time decay advantage but it also has disadvantage of high premium for ITM call buy next month, unlimited loss for bigboy covered call-if market comes down-How it is possible? i do not think so, we should not call it as covered call-I would rather say different type of spread strategy
We buy itm call
@@CapitalZone i agree to you that it is ITM, its a typo error(edited now), my point is ITM buying for next month has high premium, unlimited loss for covered call pertains to Long future but not Long cash
i sold 12000CE Oct @132
bought 12400CE Nov@110
22 point credit per lot
your views on the same plsss
@@rahuls1150 You will remain profitable but it is important for timely exit considering the above strike prices chosen, instead you can look for bear call spread monthly sell and weekly buy
Sir if possible do in excel
Payoff chart also available there so we can understand better
Thanks for your efforts Jegan sir, what if market goes down? and what are the adjustments for call option we bought? Can you please explain sir!
Yes sir.. good point.. would like to know if there is any adjustment if market is going down
Sir, Can this be done weekly - selling current week, buying next week? And, can this be done on Put side as well? or, this will do in call side only? As sometimes, we may finf Nifty trend negative. OR, What will happen if done on both sides?
May God Bless you and your family
Sir please can you make a video on the currency options trading.
Good bro . Thanks a lot 😊
Appreciate your efforts
Very informative. Thanks
Good sir,i have to watch atleadt for 5 times,to recover. Good explain
5:10 you advised to sell 11700 CE but in display it is 11500 CE. I'm assuming we need to sell 11700 CE. Please correct if i'm wrong.
yes you are r8
If you want to do same strategy you can also use bear call spread or bull put spread
What is the difference between calendar spread and poor man covered call plz
Its a diagonal calendar spread basically
Next month ITM ce is too expensive. In the middle of present month we can buy that. Not in the beginning.
Sir fantastic explanation sir thank you so much sir I have subscribed you. Channel i will refer my friend also
Thank you Mr Jegan!
Thank u so much for nice strategy.
There could be another way; let's say 473 DTE, buy 80 Delta call option and sell option month after month with 30 delta. If the Index or ETF remains same over a year, you will have a breakeven in 365 Days and remaining 4 months premium you are going to collect is your profit. According to me, it's more a high probability trade.
Sir I would like to know about your above delta strategy, if you please.
Sir..
Bullish and Bearish...a common covered call strategy provide us please.
Nice, thanks ! Can ATM CE be sold instead of OTM CE ?
you can sell put in the covered call when the market is coming down to reduce loss, I think, correct me if I am wrong
Dear Jegan,
Highly aprrecciate your efforts.
Can you please stick to Poor Man's covered call only. In between you are telling about Bull Call spread, Big Boy. It is bit confusing and please speak bit slowly. You are speaking too fast.
Thank you.
Sir please make a strategy for regular income and if possible it would be very helpful that the strategy works in intraday Option hedging
sir, what abouth the entry and exit for poors man covered call strategy?
Hi Sir, Please post some Intraday strategy with a hedge. Thanks.
Go for long in stock and go for sell in future...same quantity in both cash segment and future segment.. remember the stock is from F and O
@@beardvenky617 margin requirements will be more and more over this will be good for positional not for intraday
Sir, what you told do not understand. Please explain open with option chain, then it clear to understand.
Sir, Very lucid explanation. Sir one query please.
2. May I know when to exit the market ? Is it the current month's expiry ?
same doubt i too have, Can you confirm and tell me sir?
Dear Jegan, What should be ideal IV levels & Positional Greeks while entering
PMCC of ( 1.ITM call option in a longer-term expiration cycle 2. OTM
call option in a near-term expiration cycle)
Nice Explained...Good One Bro..... Thank You
Thanks Sir, great knowledge
Sir you told that sell OTM in current month but in above example you sold 11500 with current month ATM
Can you show payoff diagram. It will save your time. Also risk is slight more than reward. If underlying moves against our favour, immidiate loss starts. Nowa days Nifty moves average 200 points per day. So these strategy do not work effectively for weekly calendar. For Monthly, however it work pretty fair provide we book 2-3kin 2/3 days
it is same as bull call spread with different expirations
Jegan the video is very helpful, thanks a lot. Please guide on how to decide about the quantity of calls to be sold based on portfolio size. If my equity portfolio is worth 20 lakh in nifty bees, how many lots of nifty ce should i be selling.
9 lakh for one lot
Sir if market is going down the can we do a poor mans covered put or this method is not allowed to use with puts ?
Should we use this strategy in weekly or monthly because we are earning with the help of OTM selling.
Also when to square off ?
Current month expiry or shift next month expiry ?
Sir why did you remove your todays live session from youtube ? I was unable to watch at that time due to network issue.. Please upload it
Thank you very much
Jagan sir.. thanqs for sharing
Thanx Jegan
Excellent 👌 analysis
If we buy nifty fut how we will get 200 points profit...?
Thanks sir. Plz tell how settlement will happen if i sold one future and buy one synthetic future( buy ce, sell pe), at expiry for any stock. Is there any kind of physical settlement and at what time it has to be squared off 3.20 or 3.29.
Sir please how much needed for this poor man strategy 🙂😊
Thanks a lot
The best video is seen so far
sir what strike price need to select depends on Iv skew or IV smile or OI buildup
what is time frame monthly/weekly for both OTM & ITM
when to enter for monthly/weekly expires
please guide me sir
Thanks
Can we do poor man covered call and put? When we don't know the market direction
Current month 11700 call sell...but...picture showing September 11500 call
Jegan Anna in above strategy when is right exist & when we should start doing adjustments.
jagan Sir when i am see the pay off chart it is seen the Breakeven it is very close to the sold CE and hence may require frequent adjustment . how far should be the sold OTM
how to select OTM by Delta or Theta
In which situation we can do this poor man's covered call strategy sir
Neutral to bullish
excellent
Can we sell next month Put instead
It isn't poor man covered call because in selling buy call option margin we have to pay is 5 to 6 times more than buy call
Fantastic
Itm premium high then current month..check it
You had written to sell atm 11500 ce but you said to SEL OTm 11700 call !?
Fantastic explaining. Thank you very much. I have one doubt. Next month deep itm call we are buying. Current month otm call is selling as per plan. Instead of current month otm call, why can't we sell current week otm call, it's time decay is more fast than current month. My brain says current week premium is very less, which may not sufficient to hedge the holding positions. Am i right. Kindly answer please.
Yes, correct
@@CapitalZone
Thankyou sir.
Nice explanation
for spread and covered call, does CTM is also treated as ITM for net off with future???
Thank you 🙏🙏🙏
what about opposite, tell about put...
Thank You Sir♥♥
Sir, thank you for the video
I have one question. For an call to be OTM, we have to sell above 11500 if the spot is at 11500 right? In the example given by you jn description, it says spot is at 11500, sell OTM 11500, it shoud have been 11600 or 11700 right?
Please correct me if wrong anywhere
Great
God bless you sir
Good
Sir down side adjustment??
Sir pls explain in hindi
Slide should be Sell SEP 11700 CE instead of 11500 CE right?
The actual name is Diagonal Spread
The title isn't welcoming, or does it look appealing, anyhow thanks for the safer strategy Sir, really love your videos.
Why u oppose that word
What will happen if I buy October expiry nifty 50 12500 CE today or October 5, 2020. If nifty reaches 12500 by end of October month how much I will receive money for that Call.
U won't receive any amount, if nifty crosses 12500 + the premium paid for call option u get the profit
Kumar ok. I see. Thank you
Bank nifty poor covered call settings please
Hi sir, i am like to work related to stock market. How to identity to join
Check out here, ruclips.net/video/0P65ejSJXIY/видео.html
Thankyou sir
Would this strategy work for bearish view on nifty ? Buying ITM put next month and selling OTM put for current month ??
i dont think so, the name is itself covered "Call" , not put !
@@human.anytime ha..ha...you seem to be novice in options..flexibility and adjustments is the beauty of options trading, name doesn't really matter
this is calendar spread ??
You shud have covered the risk of Gamma also to make the video complete. It can result in major loss in case of runaway market.