Dear Mates,
Day before yesterday, I deployed a strategy in Opstra (Paper Trading) where I sold both OTM call and put options near the 12 Delta mark. The initial position nifty included 24,850 Call and 21,850 Put.
Over the past two days (3rd & 4th), as Nifty moved higher, but the call premium remained stagnant without much change. However, today, despite Nifty fluctuating within a 50-point range in both directions and closing just 42 points lower than yesterday, the 24,850 call (27th March expiry) surged significantly.
I’m struggling to understand why this happened. If anyone could shed some light on the factors driving this movement, it would be greatly helpful.
