Jump to content
  • 0



Can someone tell me how to predict losses if you are shorting options on the indices.

So yesterday  I had a demo DAX trade as follows:-

Short Call Germany 30 @12220

stake size -49.75 options open price 20.3 close 48.71 so result up 28.41 points makes loss of 1,413.40 euros. (49.75 x 28.41 Understood).

But how do I calculate from the index?

The market price closed at 12,302.6 at a strike price of 12,220 makes a market move of 82.6 against me. How do I predict losses using the index. Normally with options I would simply deduct the opening premium from the market move (82.6-20.3) = 62.3 and multiply by the stake. - but this does not relate in this case. How can I relate the options price move of 28.41 points to the market move of 82.6 points from the strike price? Hope this makes sense.

can you assist?


Share this post

Link to post

0 answers to this question

Recommended Posts

There have been no answers to this question yet

Join the conversation

You are posting as a guest. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

You are posting as a guest. If you have an account, please sign in.
Answer this question...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

  • Member Statistics

    • Total Topics
    • Total Posts
    • Total Members
    Newest Member
    Joined 20/10/20 23:25
  • Posts

    • There's Germany still bouncing about like a pair of lovely-jubblies  
    • with the previous hour's candle completed, Monday's low became a third-order Grimes pivot point - taking this as a signal would have resulted in closing the short 400 points below entry: I find this interesting.  of course this a sample of one so absolutely not representative.  and there are probably easier ways to come to the same conclusion - e.g. selling after a pronounced up-move once two lower highs emerge, or breakthrough the approximate neckline of a h&s pattern, and buying once a low held a very close test and a re-test would have lead to the same here...  also kinda would require 24/5 monitoring... will try to work on a plan addressing these issues