Option Buy Recomendations

[anjubhatia]

dear ghosh ji,
I hv ril 2010 put @80, 12 lots, closing--54.
badly stuck, any chance fr my capital fully back??
Thanks in advance.
Regards,

 

[gaurav108]

hey guys...

I think, its time again...
things are getting in bad shapes again... c for how the asian mkt closed in the end... the european, and in the end the big boss DOW... 236 points down... this iran missles will doom us even if they are not fired on israel

If we c ourselfs we have come far above from where we were thrown few days back.. even if we call 3850 as are jumbo support, it is also around 300 points down...

Now for what we being traders find a good thing is this kind of gaps...
After such a gr8 up move, if v again fall back for the second time, mkt is definetly going to loose hopes and then will be walking again on the bear roads... which will head to 3600..

Well !!! thats all how I c things... ur comments and agruments are welcome...

 

[GRORICH]

Dear Nitu20,

You are correct! R1 = 3855 and S1= 4170. Buy calls at 3850/3800 and puts at 4150/4200. As per the strategy exit the loss making option and hold the profit making one with trailing SL say 10-20% from the profit levels. And if your trailing SL is not hit hold the same . Buy calls and puts as per next weeks S1 and R1 and do the same as earlier. Provided R1~S1 >300 and <400.

Currently Nifty is bearish so buy more puts than calls. Recomended ratio could be 2 puts to 1 call.

Offcourse you can square off both calls and puts as per your wish. All depends on your risk appetite.

Regards

Dear Ghosh_ak34 sir,

Please clarify my doubt sir.

As I understand , in the above situation , we could buy Nifty calls when Nifty spot reaches around 3800 to 3850 and buy Nifty puts when Nifty trades between 4150 to 4200 . Am I right sir ? If I am right , we could buy Nifty puts of strike price say 4100 around a price of 150 to 160 today . OK sir ?
Thank you for your expected clarification.
Grorich

 

[ghosh_ak34]

dear ghosh ji,
I hv ril 2010 put @80, 12 lots, closing--54.
badly stuck, any chance fr my capital fully back??
Thanks in advance.
Regards,

Dear AnjuBhatia,

Market is volatile and facing resistence at upper levels 4100/4200. RIL is too having resistence at upper levels. But RIL is looking comparatively strong, so would advise an hold with a SL = 10% max.

Regards

 

[ghosh_ak34]

Dear Ghosh_ak34 sir,

Please clarify my doubt sir.

As I understand , in the above situation , we could buy Nifty calls when Nifty spot reaches around 3800 to 3850 and buy Nifty puts when Nifty trades between 4150 to 4200 . Am I right sir ? If I am right , we could buy Nifty puts of strike price say 4100 around a price of 150 to 160 today . OK sir ?
Thank you for your expected clarification.
Grorich

Dear Grorich,

Yes, you can try this but would advise to maintain a strict SL=20-30% from your buy price.

Regards

 

[AW10]

Pokrate, I think you have posted the question in multiple threads.
I have replied to your post at other place in the forum. Plz delete the other post..

Happy Trading.

 

[ghosh_ak34]

Dear Friends,

Nifty R1~S1 > 300. So, its recomended to trade in Nifty options as per my stated strategy earlier. Its bearish, so buy 2 puts at R1 and one call at S1 atleast. You can also buy puts at R1 with SL = 20-30%.

Regards

 

[nitu20]

Dear Friends,

Nifty R1~S1 < 300. So, its not recomended to trade in Nifty options as per my stated strategy earlier.

Regards

Dear Ghosh Sir,

As per my calculation R1~S1=320.

As per the data from
Nifty High = 4216
Nifty Low = 3896
Nifty Closing = 4049

So P = (4216+3896+4049)/3 = 4053

S1 = 2*4053-4216 = 3891
R1 = 2*4053-3896 = 4211

So R1~s1 = 4211-3891 = 320

Please tell me if I am wrong.

Regards,
Priyank

 

[ghosh_ak34]

Dear Ghosh Sir,

As per my calculation R1~S1=320.

As per the data from
Nifty High = 4216
Nifty Low = 3896
Nifty Closing = 4049

So P = (4216+3896+4049)/3 = 4053

S1 = 2*4053-4216 = 3891
R1 = 2*4053-3896 = 4211

So R1~s1 = 4211-3891 = 320

Please tell me if I am wrong.

Regards,
Priyank

Dear Priyank,

Yes, your calculations are correct. So, we can trade as per my strategy posted earlier.

Regards

 

[praveen taneja]

sir i hav two calls of RIL 2250@ 35/ n two calls of nifty 4400 @ 40/ can somebody tell me wat to do book loss or average it