1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures - Bac

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Forgot to notice that Today the Low was 5761.15 in NF. So you can go for the Intraday Options

Sell 1 Lot 5700 PE @ 78.75
Buy 1 Lot 5800 CE @ 97.2

Close the poistions at 5822 or Reverse your positions

At what price to enter for Intraday?

Similar to the Positional Strategy where a combined price of 90-95 is entry point.

Same way look for a combined price of 180 in Intraday. So you will SELL 1 lot at @ around or > 90 and Buy 1 lot around at < 90.

Is it a Golden rule and whether it will work always?
I do not know for sure. But this is based on my watching the Options chain. If the experts have a better rule please let us know

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Forgot to notice that Today the Low was 5761.15 in NF. So you can go for the Intraday Options

Sell 1 Lot 5700 PE @ 78.75
Buy 1 Lot 5800 CE @ 97.2

Close the poistions at 5822 or Reverse your positions

Please hold your positions. As told to you in the morning 5762 was my level. so it was better to take the positions around 5762 keeping Stoploss of as 5742. Trade with Stoploss

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Simple Option Strategy based on MAX OI in CE and PE

This strategy is not for Intraday. People who want to wait and Trade for atleast 2-3 days can try this Strategy.

For taking positions it is better to take at the end of the day so that we would also gain some points due to Time erosion

At EOD,

Find out the Strike Price where CE OI is Maximum.
Find Out the Strike Price where PE OI is Maximum.

In Jul-13 Series, For example the
MAX CE is at 6000 and MAX PE is at 5600.

Sell 1 lot of 6000 CE - LTP is 13.8
Sell 1 lot of 5600 PE - LTP is 78.6
Combined premium of 92.4.

If Market moves UP, this could give good result.

Why Choose to Sell ?,
The basic assumption is that when the OI or Volume is High in a particular Strike price, then that means the Operators are Selling. When the Operators are selling they normally would expect the pricess to go down.

So the next question, Why would not the Operators Buy, Options?
The Operators are there to Create the market and So they need to sell to create the market and for them buying is squaring of their positions. They are not really buying...

What is the Stop loss ?
Take positions when the market is atleast 50-75 points away from either of the Strike price. In our case market closed at 5682, 82 points away from 5600. Close the poistions if 5600 is brken on the downside or 6000 is broken on the upside.

I am just exploring options and just my view. Please do your homework before you put your trade. When you are going for a combined premium strategy. Go for a minimum combined premium of 90+

The Same Strategy could be applied looking at the MAX Volume (This is for Intraday)

If the MAX Volume is at the Same strike price, then Sell PE and CE at the strike price. Fro example in the morning the Max volume was at 5600 when the Market was going up and Down, So at that time Sell 5600 CE and 5600 PE. When to Exit When the Strike Price changes... When the market moves UP the MAX CE would up to the Next strike Price ie 5700... OR PE changes to 5500 if market went down... Today at around 10:40 AM, Max volume changed hands from 5600CE changes to 5700CE, At that time Close 5600 CE SELL and Buy 5600 CE. (Not Sell 5700 CE right now).

At 10:40 AM, Market made the low 5640 (Of course it also made a low of 5631 after that).

One more important point on the timing of closing the Positions
Intraday : Close when the volatility is high. I mean when the it is going UP and DOWN and when the levels are met. To put it simply after the storm is over.

Postional : Close when the Storm is settled... And when everybody is bored... Or when the Storm is about to be set. Before the storm is Yet to start (Or when you see a change in MAX Volume Levels in Intraday)

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

While the OI is going up, The volumes are low. So the big fellows are still making the market.

Overall the Change in OI for CE is 73 Lakhs and For PE it is 1 Crore. So a lot of Long build UP is going on right now... We always have to take a snpshot and compare it after one hour. so let us see the values at 11:30

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Forgot to notice that Today the Low was 5761.15 in NF. So you can go for the Intraday Options

Sell 1 Lot 5700 PE @ 78.75
Buy 1 Lot 5800 CE @ 97.2

Close the poistions at 5822 or Reverse your positions

Some kind of negative news floating around. So for today let us keep 5810 as the TOP and close the positions even though my calculation shows 5822

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Forgot to notice that Today the Low was 5761.15 in NF. So you can go for the Intraday Options

Sell 1 Lot 5700 PE @ 78.75
Buy 1 Lot 5800 CE @ 97.2

Close the poistions at 5822 or Reverse your positions

5800 CE made high of 102. 5700 PE made low of 71.

As suggested close your positions around 5800-5810 NF

 

[prabhsingh]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Raj,

What are your thoughts for Hindalco.Kindly can you give your views please.

 

[dineshN]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

what was the negative news?

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

While the OI is going up, The volumes are low. So the big fellows are still making the market.

Overall the Change in OI for CE is 73 Lakhs and For PE it is 1 Crore. So a lot of Long build UP is going on right now... We always have to take a snpshot and compare it after one hour. so let us see the values at 11:30

At 11:50 AM the Options data

180K 5800 CE being SOLD compared to 131K 5700 PE. Still the volume is less

OI - 19L 6000 CE SOLD, 5600 PE SOLD

Overall OI CHG - 78L CE, 1.12 Crore PE

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Raj,

What are your thoughts for Hindalco.Kindly can you give your views please.

For Hindalco,

The Intraday Range seems to be 98-103.
Not much volume in Intraday options

OI - 95CE and 95PE, More Shorts in 95 CE compared to 95 PE. So one can short around 100.

OI CHG - Once again 15 L in 95 CE and 9L in 95 PE. So Hindalco, Take short around 100 for target of 95.