Options Trading Analysis [15 May 2025]: NIFTY Trade Setup

❌ No Trade Executed This Week – By Choice
Despite preparing thoroughly for the 15 May 2025 expiry, I decided not to take any position this week. The reason? A highly unusual 3.81% gap-up in NIFTY on Monday, which pushed the index above 24,900 in a single day.
As a disciplined option seller, this kind of unpredictable move signaled caution. The market was driven by geopolitical news — including a ceasefire agreement between India and Pakistan, India’s upper hand, and a defense boost with the Rafale deal and new BrahMos unit setup.
📈 What Happened During the Week?
- Monday, 13 May: NIFTY opened with a massive gap-up, jumping over 900 points.
- Tuesday to Thursday: The market consolidated but continued inching higher, eventually crossing 25,000 on expiry day.
- Volatility: IVs dropped after the news stabilized, reducing premiums.
- Option Chain: Rapid shifts in OI levels, making it harder to define safe ranges for neutral strategies like Iron Condor.
🧠 What I Learned This Week:
Lesson | Insight |
---|---|
📌 Patience is a Position | Sitting out saved me from unpredictable risk. |
📉 Gap-ups Kill Premiums | Post-gap, premiums deflate fast, giving less reward to sellers. |
📊 News-based Moves = High Risk | When market reacts to non-technical triggers, it’s wise to wait. |
🧠 Emotional Discipline Wins | I avoided FOMO and followed my plan — no regret. |
✅ Final Thought:
“Sometimes the best trade is no trade.”
This week tested my patience and reminded me that option selling is not about action, but about planning and protection. By not trading, I protected my capital and mental clarity — ready for next week’s opportunity with a sharper edge.
This article is part of my weekly option-selling series using real-time paper trading. I follow a systematic approach with clear logic and discipline. If you want to master selling options, follow (this is not a recommendation) this journey weekly and try replicating it on paper. Once confident, you can shift to real trades!
Let me know your thoughts in the comments! Share your trades or doubts below!
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