The saga of unpredictable moves continues.

At one stage, HDFCBANK and KOTAKBK were in the negative and ICICIBANK was just holding on in the positive side. Then the turnaround happened. We do not know the reason and there is no need to know it. Because these stocks may fall back again today or may not.

Strategies are meant to take care of such uncertain situations.

This is how BANKNIFTY performed yesterday:

The strategy has taken the move as it should. Now our sold PUTS have become profitable and hedging PUTS have gone into loss. That was the original intent.

Let us look at the position at the end of day on April 09:

Doing fine. We just leave it here.

Nothing to be done at this stage. Sit back and watch or even do not watch.

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.