(1/n) Thread on must have adjustment you need to learn for managing IronFly 😇
@Abhay_7788
@Abhay_7788
(2/n) Position sizing: Its utmost important to know position sizing. Its even more important than adjustments. Ideally we prefer to start Nifty IronFly with 2 lots per 5Lac capital which use around 20% of capital and provides us flexibility to adjust using remaining 80% capital.
(3/n): If nifty stays in the range then our weekly target of 1% is easy achieved with 2 lots only.
If Nifty stays in the range then for every Rs 500 profit keep bringing buy hedge 50 points inside which will make IronFly risk free.
If Nifty stays in the range then for every Rs 500 profit keep bringing buy hedge 50 points inside which will make IronFly risk free.
(4/n) If Nifty goes outside range,then we have 80% capital left to adjust. If there is gap up or gap down or nifty approaching BE & you feel need to adjust to reduce max loss then see if straddle is in profit, if yes then shift straddle near ATM along with buy hedge
(5/n) If straddle not in profit then close the profitable sell leg(e.g. close CE if Nifty going towards lower BE) with its buy leg and shift it by number of points booked in the sell strike. This will reduce max loss .
(6/n) you can also start selling extra 20 delta CE with 10 delta buy if nifty approaching lower BE. Same for PE if its approaching upper BE. By doing this max loss will keep on reducing.
(7/n) Now if Nifty come near BE then you can add butterfly to increase range on that side. This will increase the range and profit chances also.
(n/n) Now jisko bhi copy karke credit lena hai le sakte ho kyunki sab yahi kar rhe hai. Same like Crown Strategy 🤣🤣🤣🤣🤣🤣🤣
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