BankNifty PUTs & CALLs

[columbus]

NOV.9 NOVseries Day.11 BankNifty=11475 (-138)

In NOV.series Day.11 BankNifty (5D-6U) moved this way:
DDDUUUUUUDD

We follow the PUT and CALL windows with the boundaries, as :


DAY		LOW~HIGH
========= 	=========	
1  to 7 	40Rs to 400Rs
8  to 14	30Rs to 300Rs
15 to END 	15~25Rs to 150~250RS

This is not based on ANY formula , but on just observations of last few days.

The Expected zone has contracted downwards to (11800~11300) .

Bank Rate

This is the rate at which RBI lends money to other banks or financial institutions.
The bank rate signals the central bank’s long-term outlook
on interest rates. If the bank rate moves up, long-term interest rates
also tend to move up, and vice-versa.Banks make a profit by borrowing
at a lower rate and lending the same funds at a higher rate of interest.
If the RBI hikes the bank rate , the interest that a bank pays for borrowing money
(banks borrow money either from each other or from the RBI) increases.
It, in turn, hikes its own lending rates to ensure it continues to make a profit.

 

[columbus]

Re: BankNifty and NIFTY

If you look at the data of Nifty and Banknifty of last 4 months, there is strong correlation between these TWO [85%].

 

[columbus]

Re: BankNifty and NIFTY

If you look at the data of Nifty and Banknifty of last 4 months,there is strong correlation
between these TWO [85%].

If you look at the data of SBI and Banknifty of last 4 months, there is some correlation
between these TWO [65%].

 

[columbus]

Re: BankNifty and NIFTY

......deleted..........

 

[columbus]

NOV.12 NOVseries Day.12 BankNifty=11583 (108)

In NOV.series Day.12 BankNifty (5D-7U) moved this way:
DDDUUUUUUDDU

We follow the PUT and CALL windows with the boundaries, as :


DAY		LOW~HIGH
========= 	=========	
1  to 7 	40Rs to 400Rs
8  to 14	30Rs to 300Rs
15 to END 	15~25Rs to 150~250RS

This is not based on ANY formula , but on just observations of last few days.

The Expected zone has expanded to (11900-11400) from (11800~11300) .

SLR
Besides the CRR, banks are required to invest a portion of their deposits in government
securities as a part of their statutory liquidity ratio (SLR) requirements. What SLR does
is again restrict the bank’s leverage in pumping
more money into the economy.

 

[NANDAMAD]

Re: BankNifty and NIFTY

If you look at the data of Nifty and Banknifty of last 4 months, there is strong correlation between these TWO [85%].

can u pl explain

regards

 

[columbus]

Re: BankNifty and NIFTY

can u pl explain

regards

85% of the times ,both NIFTY and BankNIFTY moved in same direction.
ONLY 15% times they moved in opposite directions.

 

[gunsho]

Re: BankNifty and NIFTY

85% of the times ,both NIFTY and BankNIFTY moved in same direction.
ONLY 15% times they moved in opposite directions.

On the lighter side, BNF moves somewhere. Nifty is like coma stage for more than a month now .

Wish you a very happy Diwali :thumb:

 

[columbus]

 

[columbus]

NOW-A-DAYS SBI moves the markets a lot.A small exercise was
undertaken to study the impact of SBI on Nifty and BankNifty ,in last 4
months.

SBI+BankNifty moved in same direction ......65%
SBI+Nifty moved in same direction ..........61%