NIFTY Options Trading by RAJ

[healthraj]

I did not understand this reco. Does one go long now or EOD? If the sentiment is bearish, taking a long position will be very risky

GMT, I said by EOD today. Definitely not now.

 

[gmt900]

If we look at the Heavily traded Options in Stocks it HUL, WIPRO and SBIN. Given that the RBI policy is there tomorrow We can try and trade the SBIN by EOD today.

The Top three strikes in SBIN being traded today are

1800CE, 1700PE and 1900CE.

The Volatility seems to be going UP. By EOD 1700PE and 1900CE would be a good pair to Trade. I am expecting the market to move UP a little bit tomorrow. So please track the 1700PE-1900CE pair. Now it is avilable at 96.

The VOLT Trend chart also indicates the lines meeting at 1825-1850. So tomorrow we might see a BIG UP for SBIN

Just a thought !
If the stock moves below 1700 after the policy,PE would be ITM and it will then be a losing trade

 

[healthraj]

Just a thought !
If the stock moves below 1700 after the policy,PE would be ITM and it will then be a losing trade

Yes you are right.
May be I should give more supporting information for the call.

MAX OI @ 1800PE-1800CE - So definitely preparing for a breakout.
MAX Pain @ 1800.

So the breakout can be on either side But it is just that I am taking a Bullish view based on my own feeling and definitely NOT based on data.


It is just for watch. We can take a view after 3 pm based on the positions

 

[healthraj]

MAX CHG in OI changed from 5400-6200 to 5800-6000. The MAX OI is also at 5800-6000. The pivot 5905 is I think broken so we might see 5875 in NF.

I shorted at 5904.

Did not want to take any chance. So closed 50% for 10 points.

 

[prabhsingh]

Raj,

If i am writing/selling a CE,is it SPAN Margin amount that should be available in my account,roughly?For Nifty 1 lot how much money should be there in my account if trade goes against my move?

 

[gmt900]

Yes you are right.
May be I should give more supporting information for the call.

MAX OI @ 1800PE-1800CE - So definitely preparing for a breakout.
MAX Pain @ 1800.

So the breakout can be on either side But it is just that I am taking a Bullish view based on my own feeling and definitely NOT based on data.


It is just for watch. We can take a view after 3 pm based on the positions

Since max OI is @1800 and max pain too is @1800, will it make sense to write 1800 C/P pair, just as we did for 6000 nift pair in July?

 

[healthraj]

Raj,

If i am writing/selling a CE,is it SPAN Margin amount that should be available in my account,roughly?For Nifty 1 lot how much money should be there in my account if trade goes against my move?

It is the same as Futures and Depends on the broker. Without any margin provided if you are carrying the positions outside Intraday, hope you will roughly need 25000 per lor and per Pair. So with 1 lakh, I suppose somebody will be able SELL approximately 200 positions in CE and another 200 poistions in PE.

 

[healthraj]

Since max OI is @1800 and max pain too is @1800, will it make sense to write 1800 C/P pair, just as we did for 6000 nift pair in July?

Yes I hope so. The only problem is that the Premium is high around 176. Anyway I will take the positions only by EOD.

 

[rohaan]

Hi healthraj........
Plz provide link to download excel file for live oi analysis....

 

[Gandhar.]

Hi healthraj........
Plz provide link to download excel file for live oi analysis....

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