re: Day trading Nifty & Banknifty Futures
Just prior to the election rally, I sold some calls, the market then started rising and my heart was in my mouth. I was running losses of 9K but then tide turned and markets stated falling, I exited with a profit of 5K.
Now again, I sold calls and market started rising on Friday.
I hope history will repeat itself so that I can make some profit.
Long live the bears.
Buy on rumour and Sell on news.
Before Election results - The markets heavily priced the options then and vix was high.
Immediately when the news out VIX fell so sharply that the premium of the call options decreased so drastically that most of the speculators where caught.
But this time it is a different story.
The RBI/FED news was out.Market reacted for both.
Once RBI news was out - surprising the markets the markets went up.
Again with FED news came down.
But the rally on Friday has nothing to do with any news.
The VIX is already down.
It could be a start of fresh Rally - Christmas
.
Trend is up.
Just 3 more days for expiry.
Be careful.