SOS Trades: Rollovers and Put Close, +75K

1 Comment » Written on August 28th, 2008 by
Categories: ICICI Bank, ShortOnly, Unitech
For the Short Only Strategy, I've had to do some stuff:
  • Rolled over ICICI Bank and Unitech over to the September Futures. Prices are way below, so the rollover (buying back Aug future and selling Sep future) has resulted in a positive cash value.
  • Closed the 4400 put at a price of 186 - a profit of Rs. 47 from about a week ago. For 400 Nifty, this is a booked profit of Rs. 19,200, with brokerage taking about 3k out.
  • You might notice that I've put fairly high values of brokerage in there, but this strategy isn't dependent on low brokerage.
Yes, if I had done this, I would have to pay income tax on the profit. I can't see why that should stop anyone from making a profit.

At this point the SoS deal is up 75.9L. With less than 20% of the cash deployed, the profits are about 1.5% on the whole portfolio, in about two weeks. Too early to say it's good - let's see after six months or so. But I'll keep this blog updated.

Click here for the full spreadsheet.

Disclosure: No current positions. As usual, this is education only, please don't trade this, blah blah blah. You should NEVER consider this to be advice; it's just my own fundas, just for myself.

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About the Author: Deepak Shenoy
http://www.capitalmind.in
The man behind Capital Mind. Deepak has co-founded MarketVision, a financial knowledge startup. He has traded the Indian Markets for nearly a decade. Deepak lives in Gurgaon and fears using long words.

One Response to “SOS Trades: Rollovers and Put Close, +75K”

>I know nothing about what you are up to and doing. One thing I do know is that you make sense and it looks kind of simple. Am tempted to try it out but cannot jump in this! Could you explain what is this M2M column in your chart?


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