Hi, I need a suggestion regarding option selling strategy. I usually do strangle in btc options in isolated mode. Few times one sided position is getting liquidated with heavy loss. Is there any benifit changing to portfoli margin and using same strangle strategy. what are the risks ? can someone explain please
Hello Good evening .
Yes I have an answer for your query.
First of all Short Strangle is a very good strategy if the market has stable and low movement.it will give you very good profit .
If market goes BTC 10000 points above or below then your margin will be liquidated if you opt Portfolio Mode . Also Isolation mode also not recommended.
The best mode is cross margin mode with 20x leverage.pls try this and your position will not get liquidated even at high movement, once the market come back stable then you will earn profit .
Request you to go for long expiry atleast 50 days to 60 days in option selling so that you will get good premium and time for adjustments.
Before apply any strategy pls learn and develop your skill set with 1 to 10 lots max..so that you can survive and make many in any market conditions..
Hope this will clear .
Thank you. All the very best.