Hello Guys! I hope you are doing good. This is my last blog of 2023. In this blog, I will show you what I did in 2023 and the trading plan for 2024.
Thank you for your love, faith, and support not only in 2023 but throughout my journey. Without you, I could not have achieved this, and I am deeply grateful for your support.
So now, without wasting you much time, let me share what we have achieved in 2023.
2023 Recap and Options Trading Performance
As you know, I'm a full-time options trader. I trade option hedging strategies for positional, rule-based option strategies for intraday, and some manual trading for intraday through data analysis.
In the first 6 months, I was completely dependent on option hedging strategies and rule-based option selling strategies. I use an algo trading tool (Stoxxo) to automate these rule-based option strategies. But managing manually option heading strategies for positional.
This whole year was very tough in terms of option selling. Premiums were very low due to low volatility. But somehow we managed to generate a 3-4% monthly return from option hedging strategies in the first 6 months.
I have optimised my rule-based strategies around 5–6 times throughout 2023. The returns were not as per my expectations. I was expecting 3-4% from intraday strategies also, but somehow we managed to achieve a 21% return in 2023 from rule-based option selling strategies for intraday.
Let's look at the below chart:
These rule-based option strategies are complete for intraday. And I used a tool (Stoxxo) to automate these strategies.
Here is the performance of option hedging strategies for positional:
I have deployed around Rs. 50 lakh for these option hedging strategies. From January to August, I deployed the entire 50 lakh, but from September to December, I kept less margin here.
The reason was that premiums were very low and fluctuations were very high. So I couldn't find a good opportunity to deploy the capital. That's why I deployed very few strategies in the last 3 months.
In the last 3 months, I focused more on option-buying strategies.
I started following option-buying setups in July 2023. And finally, in September, I managed to create a few strategies in BankNifty that were giving some consistent results. So I deployed some capital on option-buying strategies in October 2023.
Here is the result of Option Buying Strategies:
The return was awesome, but these strategies required some more optimisations that I have already initiated and will follow in January 2024.
I have shared all my rule-based option-selling and option-buying strategies in the below course. You can click on the below button to get access.
Please note that the New Year offer is running for the next 2 days. So don't miss it.
Options Trading Plan for 2024
We saw low premiums and high fluctuation in 2023, which was not favourable for option sellers. But, as you can see, the India VIX has increased by almost 19% in the last month. So premiums look attractive for the coming months.
We have two important events in 2024. One is the budget session in February, and the second is the general election later in 2024. These events will bring high volatility into the system. That makes option selling attractive.
In 2024, I will also focus more on option buying. I will try to create a separate basket for option buying. So that it will stand alone without any hedge or support required from option selling.
So, in short, I have the following tasks on my to-do list:
- I will keep more focus on Option hedging strategies for positional including weekly expiry strategies in Nifty and BankNifty.
- I will optimise my rule-based option-selling strategies so that we can achieve a 3-4% monthly return from these strategies.
- I will create a stand-alone option-buying basket of Nifty and BankNifty for Intraday.
So the roadmap is clear only need to execute things.
Now I have two questions for you:
- Do you want to be part of this journey to learn and execute things together?
- Do you want to see yourself as a profitable option trader in 2024?
If your answer is "Yes" then I have an executive opportunity for you.
Come and join my "Option Strategies: A Mentorship Program". In this mentorship program, I will teach you everything, from very basics to advanced, that you need to know to trade options more effectively. Click on the below button to learn more details about the program:
That's it for today! Feel free to type your queries, suggestions or feedback in the comment box.
Happy and Profitable New Year!