Can nifty have some patience.?It is in really fast and furious mode.I have my friends calling and telling that they are going mad with futures where overnite markets lifted 50 points and the made a run up of total 150 pts mind well many were trapped.
Nifty is driving madly as i said those who managed to enter 4300 put write were lucky ones ,i also had not thot that rally would unfold so fast and so soon.
Indicators are really confusing for me still lets see pivots are major support for us.Look for daily weekly monthly pivots if they start of cross we have a confirmed short term reversal.Else down time continues.
Still nifty cannot make moves more than 500 pts one sided so this rally will fizzle out.
Rises can be dealt by faar off call writings.So that you can relax.
Again buying can be done at ur risk,i feeling terrible to buy CALL/PUT any strike.I prefer staying sidelines writing faar CALLS if at all rise continues and wait for perfect opportunity.
If u want to fine tune your strategies,POST it in comments and i will answer you how u can win by finishing touches to ur strategy.
Please post my link on blogs forums where ever you are active.
happy trading.
WB JI
ReplyDeleteWe are gannig knowledge about option trading.Would you explain and diffrenciate option buying & option writting.
Is it time to go with buying call?I am thinking about to buy 4800 DEC call. What should I do.
Thanks.
Jugal Ji, Being the expiry week coming ahead, you should not enter into december call even if you think market will rally another 100 points...because in some cases, the furious time decay will wipe out the gain. If you have to buy call, then buy january series, and with less quantity as WB ji suggested, at your own risk.
ReplyDeleteMay God Bless all of us,
Warm Regards,
Bulan
Bulan Sankar Ji
ReplyDeleteThanks.I saved my money.I went with your excellent advice.
Thanks.
@BJugal:- Well said by Bulan.
ReplyDeleteBut regarding your question writing or selling means similar to share short selling .It similar to that its like you sell at high price and u cover at lower price.
However call buy means bullish so call write means bearish.Some who thinks markets is going up u r taking opposition position from him.
Benefit are like writing faar calls will earn u some bucks and more time pass nifty does or if nifty does not break that level whole money is urs.,..
WB Ji,
ReplyDeleteMany many thanks answering quickly & excellently.
Definitely you know the value of money of peoply.
Thanks.
wb ji,
ReplyDeletei bought 200 each nifty 4800 call and 4600 puts of dec series at 42 and 22 on wednesday. now they are at 27 and 17 . shall i wait till expiry ?
hi kalyani , little late reply ,your payout matrix shows that ur breakeven on expiry will be 4536 on downside and 4864 on upside to really start in any profit.This is just a breakeven,as a buyer you can expect some rise or fall on extremes at what levels i said where u loose no money.
ReplyDeleteIn mean time if u are getting a price at extremes which crosss ur total breakeven of rs 64(42+22) then exit.
example call crossess above 70 and u can exit with minute profits or put crosses above 64 and u exit with minute profit.
If losses dont worry you much wait for expiry to get to see some extremes and exit entire trade in profit or be ready to loose all.
hope this suffices
nifty options trading strategies for today
ReplyDeleteNIFTY SPOT TREND- BEARISH
RES1:6220 RES2:6290
SUPP1:6060 SUPP2:5990
STRATEGY- SELL ON HIGH