MGL Option

March 11:

MGL Option

₹58450 is used from the emergency fund

Margin required  ₹62,193.17, extra cash used ₹3,743.17

To take delivery, I need 600*650 = ₹3,90,000

Expiry Mar 31 st 15 days till expiry

I have placed an order to sell at 3.4, later canceled due to margin requirement, and will plan to execute a trade when I have full cash to cover.

March 17:

MGL Option

₹50,625.95 is used from the emergency fund

Margin required ₹59522.38, extra cash used ₹18.03 plus ₹8,878.40 from broker account.

Sold MGL Mar 650 PE for ₹1.25 Lot 600 Credited: ₹750 Premium

I will get the stock assigned if it expires in the money.

To take delivery, I need 600*₹650 = ₹3,90,000

I will come up with that money when my salary gets credited.

Added ₹175+1182 for margin. The total money used by end of the day was ₹60,879.38.

02-04-2022:

The put expired worthless and I made ₹725.93 after brokerage ₹24.07. Options are good but it needs a large capital.

Draft Stock options rules.

1. The options should be cash-secured puts or covered calls.

2. It should satisfy earnings rule 3 with a dividend yield of 1% and I should be happy to hold for a long time.

3.  The monthly biggest drop should be calculated and put sell should be placed based on the biggest drops in a month.

4. One lot per stock/index only.

MGL

1. Monthly biggest drop is 18.59%