Option Buy Recomendations

[ghosh_ak34]

Dear Ghosh ,
I am still confused in finding the trend.I read your strategy many times now.so please clarify following examples.
1.4231.95(open)-3997(10.30) =234.95 pts.its >20pts .Here what can we do?
2.4100(12.30)=3pts.here what can we do?
3.4231(open)-4300(10.30)=69 PTS here what can we do?

Is trend is diffrence pts from open and 10.30.if up then buy call if down buy put.
Please clarify me.

Thanks and Regards
VJAY

Dear Vijay,

You are checking the difference between previous price and current. While it should be reverse. i.e.
1. 3997(10.30) - 4231.95(open) = -234.95 i.e. <20. So buy put at R1 and hold with SL=30% and when in profit either book profit or hold profit making put with trailing SL=10% of CMP
2. At 12:30
4100 (12:30) - 3997(10.30) = 103 i.e. >20. So, buy call at S1 and hold with SL=30% and when in profit either book profit or hold profit making call with trailing SL=10% of CMP
3. Calculate as stated above.

At 3:00 either book profit or do hedge your positions
Hope this clarifies your doubts.

Regards

 

[VJAY]

Tahnks ghosh for your prompt reply.I will post my paper trade tommarrow please check it and give instruction when an error occurs.
Thanks & Regards
VJAY

 

[awachat]

Hi All

I have updated 17th Sep Data.

@ Ghosh Sir,

Please comment on my paper trading

Regards,
Dhananajay

 

[VJAY]

Hi All

I have updated 17th Sep Data.

@ Ghosh Sir,

Please comment on my paper trading

Regards,
Dhananajay

Ghosh sir,
After looking awachat's file I am fully confused.Please make clear strategy with the 4 days trading of mr.Awachat.Please..........
Regards
VJAY

 

[ghosh_ak34]

Hi All

I have updated 17th Sep Data.

@ Ghosh Sir,

Please comment on my paper trading

Regards,
Dhananajay

Dear Awachat,

You are not doing EOD hedging, you need to maintain this. Good to see that you are overall in profit.

Regards

 

[ghosh_ak34]

Ghosh sir,
After looking awachat's file I am fully confused.Please make clear strategy with the 4 days trading of mr.Awachat.Please..........
Regards
VJAY

Dear Vijay,

Request you to unlearn and then, read 1st post again and once you have understood that read Awachat's file. In case of any confusion, please provide complete details for analysis.

Regards

 

[vasanth_ece]

Hi Ghosh,

As per this week data R1-4100 and S1-4500.If we know if it's +-20 points trend arnd 10.30 ,12.45 and 3.00 PM.Does we need to buy deep out of Money Calls (here R1-4100) and deep In the Money Puts (Here S1-4500),compared to Spot Price.

Why cant we buy calls and puts which are nearer to Spot Price?.On Thursday the Spot Price of Nifty at 10.30 PM is arnd 3840 .So why cant we buy 3900 Calls and 3900 Puts (for hedging purpose at EOD) after setting the stoploss of 30%.

Does i miss some concepts here?Please advice.

Reg
Vasanth

 

[awachat]

Dear Awachat,

You are not doing EOD hedging, you need to maintain this. Good to see that you are overall in profit.

Regards

Hi Ghosh Sir,

Thanks for your comments.

You are right I am not doing hedging. I have seen if we do hedging then our profit and loss remains in limit, for doing these we pay twice brokerage then ultimately we remain in loss.

I am using your strategy but only not doing hedging, you have written in privies reply that market not open always in our favor but I feel its open 75 % in our favor. For grudging this I am monitoring last 15 days nifty graph on icharts dot in site.

Yesterday I have seen as I am holding 4500 Put its open on 18th at 680RS I was taken at 487 RS on 17th 10:30 AM but the same time I was monitor 4100 Put was at 89 on 17th 10:30AM and on 18th it was open at 197RS so you can see we will be more profitable if we take ATM Call/Put.

Please let me know your comments

Its more risky ??

 

[awachat]

Hi All,

Check attachment

Please close all the September position and switch to October before market close.

 

[awachat]

Ghosh sir,
After looking awachat's file I am fully confused.Please make clear strategy with the 4 days trading of mr.Awachat.Please..........
Regards
VJAY

Hi VJAY,

I have added 18thSep file and provided more about how to read transitions. You need to trace each transaction then you will understand on every transaction I have set 20 % stop loss and 30 % profit exit on buy price.

I am not doing hedging.

Still if you have any queries then please let us know.