NIFTY made an 81 point up move yesterday.

Such a move happening close to expiry is trouble for the option buyer.

The day was like the last straw that broke the camel’s back, camel here being ourselves. It was already a very tired camel struggling under the weight of losses from long time but plodding on. There was some hope in 3 of the trades —- ASIANPAINT CALL and PUTS in HINDPETRO and SUNPHARMA. All of them were within striking distance of getting in the money but the hopes were dashed by the market move.

To add insult to injury, ASIANPAINT was a loser on such a big day.

The mark to market loss has now gone to Rs. 21000 and things look pretty glum at this stage.

Not very long ago, this mark to market position was positive.

I will wait for today’s market action to decide whether to exit or stay with the trades. Situation is getting tougher but there is no option other than facing it.

Trade cautiously, trade profitably.

Disclaimer: This post and examples are for teaching purpose only and are not meant as advice/suggestion to trade in these stocks. Trading in Futures and Options can lead to big losses and should be done with appropriate knowledge and advice only. Mentioning the stocks here does not imply that I have a trading position or likely to take a trade in these stocks.