NIFTY Options Trading by RAJ

[sabhlok_r]

Even when the NIFTY is down 220 points, the NF Premium is still intact. so I think the Index is being used as a tool to Buy the Stocks.

Any views on whether the NIFTY will move below 5400?

one stock that exhibits buying is tata motors...... looks good for a long @ cmp

 

[Option.Trader]

I

Even when the NIFTY is down 220 points, the NF Premium is still intact. so I think the Index is being used as a tool to Buy the Stocks.

Any views on whether the NIFTY will move below 5400?

It is all now with the Banking Stocks. Only BANKNIFTY can rescue this market.

We all are comfortable buying, today you would have been profitable selling at any level, but not one sell call since morning, only support levels being discussed hoping against hope, WHY? Let's not hope but trade, hope is a lousy indicator to trade

 

[healthraj]

I

We all are comfortable buying, today you would have been profitable selling at any level, but not one sell call since morning, only support levels being discussed hoping against hope, WHY? Let's not hope but trade, hope is a lousy indicator to trade

Market opened GAP Down and so we have to find a LEVEL to short. Anybody trading with Stoploss would not make such a statement.

If you look at the 30 minute Pivots for the day,

Market gave profit in both the directions. On the UP side market gave 68 points and on the downside it gave 115 points.

So you cannot trade blindly.

5561 to 5592 - 30 points
5592 to 5510 - 82 points
5510 to 5548 - 38 points
5548 to 5516 - 31 points.

 

[arcus]

Well it was a perfect set up... buy really out of money call options as hedge and you get 200 points of Nifty futures(shorted)..i didnt believe they did any exotic options... just led the sacrificial lamb to the altar .. btw i did the trade (short futures) @5695.. so yea.. each one to his views

Since I am a swing trader, I trade around 2-3 times a month at most. Once the upsloping trendline was broken on 24th July, I had initated a short by buying a 6100 Aug PE @ 154.75, I'm still holding it.

 

[jamit_05]

Since I am a swing trader, I trade around 2-3 times a month at most. Once the upsloping trendline was broken on 24th July, I had initated a short by buying a 6100 Aug PE @ 154.75, I'm still holding it.

You are probably the only winner, other than Prada, that I know of on TJ... congrats. Keep up.

 

[gmt900]

I have been watching the developments silently since 9.15 am today.Early in the day, I thought that whatever the skill level of a trader, it would be difficult to trade the market during the day. So, would it not be prudent to keep out of the market on a day like this? True, one may want to test one's skill much like a batsman trying to hold on a difficult pitch. But isn't not trading when the situation is unfavourable also an important aspect of "Trading"?

 

[arcus]

John J Murphy in his book tells that one of the first signs that a trend is weakening is that the channel line is broken and the support line would reverse roles and act as a resistance.

We see that live in action on 13th Aug when the 3 day strong support line had turned into a resistance line.

 

[jagankris]

Since I am a swing trader, I trade around 2-3 times a month at most. Once the upsloping trendline was broken on 24th July, I had initated a short by buying a 6100 Aug PE @ 154.75, I'm still holding it.

Arcus,

Fantastic .
No trailing stop loss and no re entry levels ?
Prior to today's fall markets moved from 5500 to 5760.
What were your thought process to hold the put during the pullback ?
Please elaborate from the psychological as well as technical point of view.

TIA.

 

[arcus]

Arcus,

Fantastic .
No trailing stop loss and no re entry levels ?
Prior to today's fall markets moved from 5500 to 5760.
What were your thought process to hold the put during the pullback ?
Please elaborate from the psychological as well as technical point of view.

TIA.

Reason for initial entry - Break in the trendline in the chart above, RSI falling below 70, MACD negative crossover and a potential head and shoulders in the formation.

Intian SL - Close above 6077.

Once we reached around 5500, I saw the 11 month strong support at 5485 (give or take a few points) and also the RSI reaching 8.9 which is extremely oversold as per Index standards. I was expecting a pullback but I didn't know how much.

SL for the pullback was a close above 38.2% fib retracement @ 5732. The market did penetrate that level on 13th but as I pointed above, I was not satisfied with the price action. In a sense, I did break the exit rule. I wanted to wait to see follow through action above that fib before exiting the trade.

But then again even if I did exit, I would have probably reentered albiet at a slightly lower level which is not a big deal.

 

[DanPickUp]

I have been watching the developments silently since 9.15 am today.Early in the day, I thought that whatever the skill level of a trader, it would be difficult to trade the market during the day. So, would it not be prudent to keep out of the market on a day like this? True, one may want to test one's skill much like a batsman trying to hold on a difficult pitch. But isn't not trading when the situation is unfavourable also an important aspect of "Trading"?

It is always difficult to trade the market during the day and specially when facing such a drop you had in your market today. The same happen yesterday in the DowJones.

It would be wrong to stay out of the market on such days if you know how to ride the train or how to jump on it with out falling from it with no protection. No rules for that. That is trading. Some start to get afraid to act on such days and freez, gues that counts for you, and others make there live trades on such days.

Take care / DanPickUp