NIFTY Options Trading by RAJ

[healthraj]

Hi Raj,

Tomorrow or day after tomorrow, if the market goes up to 6000 and if volatility drops, do you think the above position will be still in profit?

Yes you can also check that in "TradeAnalyser" sheet in OAT tool.

So let us take the case on what would be the price of the Spreads on Friday.

On Friday we would have 13 days to Expiry. So the DTE would be 13.

If we assume that the current VOLT will continue, then the Spreads would be profitable above 6000 or below 5675 (Which does not seem possible). so we have to hope for above 6000. If the VOLT goes UP, it would be profitable much earlier.

Tomorrow it would be profitable above 5975.

Looking at the NIFTY Pivots in the 60min chart, so far the FLOW has been as follows.

1. First UP - From 5119 to 5579 - 460 points
2. Second UP - From 5324 to 5624 - 300 points
3. Third UP - From 5552 to 5850 - 298 points
4. Current Trend - If 5813 is to be the bottom then it can make another 300 points which would 6113 or 240 points would be 6053.

So if the market makes 6053 on Friday the profit would be around 20 points. At 6100 it would be 40 points

 

[Option.Trader]

Raj

Just a query on Max option pain... The options Oracle tool shows the Max pain at 5700 and a few other sheets that i'm maintaining point to the same... in your calculation for max pain you have chosen only the main strike levels, just wondering if this has an effect of the OAT being shown as 5900?
Below is the snapshot from Option Oracle
What led me to check was the build of Puts by FII's.. they have been quietly accumulating puts since yesterday, and as usual all our clients have unwound all their shorts.. so just wondering if a pullback to 5700 is a possibility

 

[healthraj]

Raj

Just a query on Max option pain... The options Oracle tool shows the Max pain at 5700 and a few other sheets that i'm maintaining point to the same... in your calculation for max pain you have chosen only the main strike levels, just wondering if this has an effect of the OAT being shown as 5900?
Below is the snapshot from Option Oracle
What led me to check was the build of Puts by FII's.. they have been quietly accumulating puts since yesterday, and as usual all our clients have unwound all their shorts.. so just wondering if a pullback to 5700 is a possibility

I will check that. But the Problem also is that now with the XX50 strikes, it will add to the confusion. 5700 also sounds logical because normally in simple terms the MAX Pain is the Average of the MAX OI. MAX OI is at 5300-6000. average is 5650 which is close to 5700 and not 5900. So then that means I will have to include more strikes. Probably in this month the Range has been nearly 1000 points. so I think I will take minimum 12 strikes

 

[healthraj]

OAT Version 1.2

I have uploaded the version 1.2 for OAT.
Please see my signature for the Links.

 

[Vikas Korde]

OAT Version 1.2

I have uploaded the version 1.2 for OAT.
Please see my signature for the Links.

Raj Sir whats the use of indices column

 

[healthraj]

Options Analysis for 12-Sep-13


It is a Weak Bear this morning. so it would be BUY opportunity around 5885.

There was issue the MAX Pain calculation. So the Real MAX Pain is at 5700. Positional Traders can Buy some puts around 5950 for 250 points Target to 5700.

 

[healthraj]

I have not closed my positions Yet. Right now it is at a loss of 5 points. Will hold it till the NIFTY Reaches 6000 or 5800. This call was more or less taken at 5900. 5800 or 6000 should be met by Thursday or Friday.

I have doubled/averaged my positions in both Puts and Calls. PE and CE was available at 52 each. The Average Buy Premium is at 112 from 118. Will Keep the positions till one side becomes three times

 

[healthraj]

BANKNIFTY Naked Option for Risky players.

BANKNIFTY MAX Pain is around 9300. Now trading at 10400. So Risky players can Buy 9000 Put when the market pulls back to around 5950 levels. Keep it till 9400 is reached or whatever is your Risk Reward strategy.

As usual do not put all your capital. Max you can put 10% of your capital

 

[sabhlok_r]

BANKNIFTY Naked Option for Risky players.

BANKNIFTY MAX Pain is around 9300. Now trading at 10400. So Risky players can Buy 9000 Put when the market pulls back to around 5950 levels. Keep it till 9400 is reached or whatever is your Risk Reward strategy.

Oct series or Sept?

 

[healthraj]

Options Analysis for 12-Sep-13


It is a Weak Bear this morning. so it would be BUY opportunity around 5885.

There was issue the MAX Pain calculation. So the Real MAX Pain is at 5700. Positional Traders can Buy some puts around 5950 for 250 points Target to 5700.

The Buy around 5885 is the NIFTY Future Levels. From an Option Perspective Keep an eye on the 5900PE and 6000CE.

How do I get 5885 ? You can see the Intraday Sell Call in OAT taken at 5955 closes with 100% at 5883 . for 100% I have taken 1.2% of NIFTY which would be around 60 points

Right now 5900 PE @ 3.08L and 6000CE @ 3.16L. So when the 5900PE becomes more than 6000CE it would be a signal to Buy