pugal

24 / BITSIAN / BPHC' 23 / தமிழன்
Living in World of Options breathing Premiums

[pugal @optionsstraderr]

Not bad

[pugal @optionsstraderr]

Looks @shareindiasec listened and doing its part and becomes the first one for the very first initiative. Rest guys might follow

[pugal @optionsstraderr]

Looks @shareindiasec listened and doing its part and becomes the first one for the very first initiative. Rest guys might follow

[pugal @optionsstraderr]

With no retail brokers allowing, if SX40 can get till here. Why not take some step and allow SX 40 expiry @upstox @DhanHQ @DhanHQ @jainambroking @IIFL_Finance @shareindiasec

3rd expiry feels nice @SarangSood @koushik_tweetin @saurabh_gunjal_ @Shijumonantony @AshishGupta325

[pugal @optionsstraderr]

"STT hike is quietly crushing options trading"

( A thread )

Earlier, a ₹400 straddle used to cost roughly 75 paise in charges, with STT around 40 paise.

Now, the same trade costs close to ₹1, with STT alone around 60–65 paise.

Looks small?

It isn’t.

Because in real execution, this changes the trade itself.

If you sell at ₹400, you are effectively selling closer to ₹399 after costs.

If you buy at ₹400, you are effectively buying closer to ₹401 after costs.

And that is before the market even moves.

Now add:

Bid-ask spread.
Slippage.
Adjustment cost.
Repeat entries and exits.
Exit impact during fast moves.
This is where the real damage is.

Traders are trying to capture a few rupees, but the first rupee itself is going towards cost recovery.

And remember — this is without brokerage.
Brokerage is an extra layer. Whole extra layer

So the actual breakeven is even worse.

Higher STT doesn’t just increase tax.

It widens the gap between your screen price and your real trade price.

[pugal @optionsstraderr]

@Shishir_Mayya i m doing 90% selling 10% buying bcz of this nature post feb 2025

[pugal @optionsstraderr]

Why Option buying got 5x tougher post Nov 2024 ?

My understanding

2022, 2023, 2024 = Anyone with skill made money in Option trading. Long straddles were flat/mild red. Long gamma had minor -ve edge but not really affects much if you r skillful and have discipline. Sellers with discipline made money. Buyers with skill and discipline made money

Everyday in 2024, Option sellers kept blaming system and eventually killed the Golden goose i.e daily expiry

After it was gone, the total opportunity reduced multifold for both buyers and sellers

But In late 2024, when 0 dte margin spiked, it created huge imbalance. Almost everyday from Dec 2024, option buyers started losing bcz sellers count in market depth reduced leaving IV>> RV

Since Option buyers are mostly newbies, most didnt realise the big -ve edge yet and -ve edge keeps getting compounded unlike the years 2022, 2023, 2024 where it keeps shifting

Now, Option sellers are struggling due to lack of opportunity due to 0 dte ban and STT impact and buyers couldnt sustain bcz of huge -ve edge present on the sytem as of now since Nov 2024 and STT rubs salt on the wounds

[pugal @optionsstraderr]

@koushik_tweetin @DhanHQ @Ashish1Nanda @kotakneo @upstox @IIFL_Finance agri commoditity fno

[pugal @optionsstraderr]

Why your platform dont allow these contracts yet? @DhanHQ @DhanHQ @Ashish1Nanda @kotakneo @upstox . As of now very few like @IIFL_Finance allow this

[pugal @optionsstraderr]

@SarangSood @saurabh_gunjal_ @koushik_tweetin @DhanHQ @DhanCares @kotakneo @Ashish1Nanda @upstox @IIFL_Finance @jainambroking index .... like nifty 50, sensex 30, sx 40

[pugal @optionsstraderr]

When will we get 3rd expiry @saurabh_gunjal_ @koushik_tweetin @SarangSood

When will you get SX40 expiry into your broker @DhanHQ @DhanCares @kotakneo @Ashish1Nanda @upstox @IIFL_Finance @jainambroking

[pugal @optionsstraderr]

With no retail brokers allowing, if SX40 can get till here. Why not take some step and allow SX 40 expiry @upstox @DhanHQ @DhanHQ @jainambroking @IIFL_Finance @shareindiasec

3rd expiry feels nice @SarangSood @koushik_tweetin @saurabh_gunjal_ @Shijumonantony @AshishGupta325

[pugal @optionsstraderr]

When will we get 3rd expiry @saurabh_gunjal_ @koushik_tweetin @SarangSood

When will you get SX40 expiry into your broker @DhanHQ @DhanCares @kotakneo @Ashish1Nanda @upstox @IIFL_Finance @jainambroking

[pugal @optionsstraderr]

Mumbai guys, this looks cool @saurabh_gunjal_

[pugal @optionsstraderr]

Option buying in Index options has been literally a scam since Dec 2024. Amount of -ve edge has just skyrocketed since then !

Implied >>> Realized

Intraday Long straddle is in deep red for 17 months! All this 0 slippage. With slippage, it gets worser

Credits:
@AlgoTest_in

[pugal @optionsstraderr]

@CricsGoldy @hershybru https://t.co/wDV1g9eGvW

Mentioned same here

[pugal @optionsstraderr]

@hershybru @mufaddal_vohra Mention "gone in 20 overs" hershy !!

When someone eat 70 balls at open with 80 sr in 360 chase playing PP, I would always stand and clap for the only guy who stood up and scored century at 150 sr no matter how it came, especially when all 5 fielders are outside circle !

[pugal @optionsstraderr]

@CricsGoldy @hershybru Exactly. The number 38 shud be replaced by number 20

Ofcourse i know hershy didn't mean the centurion, the correct perception is, they lost it by over 20, 107-1

Chasing 363,
One need to aim 85 in first 10, 65 in next 10, 70 in next 10, 70 in next 10 and rest in next 10

[pugal @optionsstraderr]

@kk_dinesh1 To lose n number of toss in row,
Chance is (1/2) power n

[pugal @optionsstraderr]

@hershybru @mufaddal_vohra Mention "gone in 20 overs" hershy !!

When someone eat 70 balls at open with 80 sr in 360 chase playing PP, I would always stand and clap for the only guy who stood up and scored century at 150 sr no matter how it came, especially when all 5 fielders are outside circle !

[pugal @optionsstraderr]

@zerodha @karthikrangappa It's abt content in varsity and it was a complicated doubt. It would be nice if @karthikrangappa sir gets back in dm

[pugal @optionsstraderr]

@karthikrangappa @zerodha Having 1 complicated doubt but I know u know readymade answer for it

It will take just 1 min of yours. I couldn't dm you sir

Pls dm. Thank you

[pugal @optionsstraderr]

@Nick_khandelwal what u consider as a long time bro.. say the time and i will try to prove my point