NIFTY Options Trading by RAJ

[ShriG]

Trading for 5 points is too risky. When you have a bad trade it will be very difficult to recover your losses.

Instead of reducing your profit and taking 200 quantities, you can reduce the quantity and go for 50 quantities with 20 points. Trading is about mastering both Greed and Fear. It is pure mathematics.

When you play with 5 points, with 4 trades you make 20 points. But with one bad trade with a loss of 20 points, your five winning trades are lost.

So in options and Futures never play with 5 points.
You will not learn. Finally trading is about a positive aggression.

In other words if you are sure that you will never loose more than 5 points then going for 5 points is fine
__________________
Best Regards,
Raj


Thanks RAJ....I was waiting for your reply.
actually from your rules i m getting where the market is going.so till now i have traded by taking 100 lots each time and selled in 5 points.that has worked well enough.and i can go with stop loss as well.so the risk will be covered.its sure that your rules are working so i m sure about market trend.even if the market goes up max up or max down, i m strictly getting out in 5 points.i will follow this for a month now.lets see where it goes.
Raj your forum is excellent.thanks a lot!!!

Shri G

 

[healthraj]

MAX COI at 7600-7700. So today unless COI changes to above 7700, at around 7720/40 it would be a SELL.

As per the Options Chain it is indicating Bullish.

MAX OI still at 7500-8000.

In LTF SELL Triggered above 7704. In HTF the Resistance 2 is at 7740. Minor Trend Resistance is at 7734.

So it would be ideal to SELL Above 7740.

 

[healthraj]

Place a limit order to BUY 7700PE around 50

 

[varesh.et]

Hi Raj,

It would be great help you could let me know about my query about pivot point updating in OAT tool. I will need to know major/minor S/R and pivot to take position as you do using 10 mins and 1 hrs numbers.

Hoping not missing anything here.

Thanks

 

[adg123]

Nifty Future in DISCOUNT, Indication of Heavy Selling...
Bearish Move ahead !!!

 

[healthraj]

Hi Raj,

It would be great help you could let me know about my query about pivot point updating in OAT tool. I will need to know major/minor S/R and pivot to take position as you do using 10 mins and 1 hrs numbers.

Hoping not missing anything here.

Thanks

Hi,

I don't use the Pivots in the OAT tool. Those Pivots were based on the FLOW method by SAINT. Nowadays I don't follow the SAINT's flow method because the FLOW method always expects you to BUY above the Pivot and so you are building an expectation for an UP move.

 

[varesh.et]

Hi,

I don't use the Pivots in the OAT tool. Those Pivots were based on the FLOW method by SAINT. Nowadays I don't follow the SAINT's flow method because the FLOW method always expects you to BUY above the Pivot and so you are building an expectation for an UP move.

Thanks Raj,

I am really struggling on these pivot/SR values as most of the time I go for buy on breakouts or sell on breakdown and getting trapped there because my entries are too late or too early. So thinking to stick with some good plan.

Thanks

 

[adg123]

Raj brother,
have you any experience on NARROW RANGE / INSIDE BAR set-up ? Just curious to know...

 

[healthraj]

Raj brother,
have you any experience on NARROW RANGE / INSIDE BAR set-up ? Just curious to know...

I am not a fan of the candlestick Patterns. But this pattern I have studied long back....

To me it is a Reversal pattern and confirmation for Long or Short.

For Example in the hourly chart, in this Rally you can see this two times ...

on 15-Jul, There is a Down bar making low of 7459. After that there is a inner UP bar, which is a confirmation for an UP move. Normally above the HIGH of the Inner Bar you can BUY...

You can also See a similar move on 18-Jul.,... There is a DOWN bar with a low of 7595 and then an inner Bar.

These type of patterns should be used as an additional information for Confirmation

 

[healthraj]

MAX COI at 7600-7700. So today unless COI changes to above 7700, at around 7720/40 it would be a SELL.

As per the Options Chain it is indicating Bullish.

MAX OI still at 7500-8000.

In LTF SELL Triggered above 7704. In HTF the Resistance 2 is at 7740. Minor Trend Resistance is at 7734.

So it would be ideal to SELL Above 7740.

NIFTY after making a HIGH of 7722 is trading in a Narrow Range for the past three hours. From here it is a SELL on high. But since it is trading within a Narrow Range, 7665 would be the level to Watch. If NIFTY moves below 7665, then it is confirmation for a Down move, Otherwise the SELL needs to come above 7740.

So I will be watching 7665. No open positions for me in NIFTY...