handling-paper-loss

Question and Answer – Forum › Category: banknifty › handling-paper-loss
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curiousmind asked 5 years ago

Is there a way to handle paper loss in banknify option selling? e.g. Sold 2 SD banknifty weekly position, it is showing red however banknifty is really far from strike price.

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Raghu Staff answered 5 years ago

Hello Curiousmind, Did you sell on both sides or is it single-sided option selling? You need to always have a counter to reduce losses while selling options.