Option Buy Recomendations

[ghosh_ak34]

Dear Friends,

For Nifty Future traders who would like to trade as per trend check strategy posted in 1st post of the thread, Nifty levels for tomorrow are as under:

Resistence at 4950
Support at 4827

If you go short 1 lot then, buy 1 lot at money or near money call and if you go long 1 lot then, buy 1 lot at money or near money put to hedge. Reco. to trade as per trend check strategy posted in 1st post of this thread.

Regards

 

[ghosh_ak34]

Dear Friends,

For Nifty Future traders who would like to trade as per trend check strategy posted in 1st post of the thread, Nifty levels for tomorrow are as under:

Resistence at 4932
Support at 4865

If you go short 1 lot then, buy 1 lot at money or near money call and if you go long 1 lot then, buy 1 lot at money or near money put to hedge. Reco. to trade as per trend check strategy posted in 1st post of this thread.

Regards

 

[gurprB2J]

Respected ghosh sir ,

i m paper trading as per your threads since 23rd of Jan .sir followings are some problem which i m not able to solve despite reading this thread several times .I hope you , as always , sort out this prolem with your vast experience

Although i have booked 73% of time profits but still i m not confident regarding squaring off call/put at the EOD.As i m a small investor and have only 1k for investing .please suggest how should i go for squaring off my position.


(Price at 3:00PM - Price at 12:30 PM ) =<20 pts square off profit making put or hold it for next day and hedge the position by buying call at S1.
If (Price at 3:00PM - Price at 12:30 PM ) >=20 pts square off profit making call or hold it for next day and hedge the position by buying put at S1.
Above are copy pasted from your first post
second doubt is if in case (as u told above)our position at a EOD is <=20 we hedge it with buying call at S1 ,then why should not we hedge the position of >=20 with buying put at R1 .

3)If we hedge our position at EOD and the next days market open against our intial position (e.g now we have both call and put with SL and SL is not hit) ,should we wait for SL to be hit or covered the loss making call/put. IF we dont then should we starts a day with new position as per mkt direction and previous day position to carry forward upto friday and then square it off on friday as SL is not hit and its also hedged so our profit is safe there?

 

[ghosh_ak34]

Dear Friends,

For Nifty Future traders who would like to trade as per trend check strategy posted in 1st post of the thread, Nifty levels for tomorrow are as under:

Resistence at 4910
Support at 4855

If you go short 1 lot then, buy 1 lot at money or near money call and if you go long 1 lot then, buy 1 lot at money or near money put to hedge. Reco. to trade as per trend check strategy posted in 1st post of this thread.

Regards

 

[ghosh_ak34]

Respected ghosh sir ,

i m paper trading as per your threads since 23rd of Jan .sir followings are some problem which i m not able to solve despite reading this thread several times .I hope you , as always , sort out this prolem with your vast experience

Although i have booked 73% of time profits but still i m not confident regarding squaring off call/put at the EOD.As i m a small investor and have only 1k for investing .please suggest how should i go for squaring off my position.


(Price at 3:00PM - Price at 12:30 PM ) =<20 pts square off profit making put or hold it for next day and hedge the position by buying call at S1.
If (Price at 3:00PM - Price at 12:30 PM ) >=20 pts square off profit making call or hold it for next day and hedge the position by buying put at S1.
Above are copy pasted from your first post
second doubt is if in case (as u told above)our position at a EOD is <=20 we hedge it with buying call at S1 ,then why should not we hedge the position of >=20 with buying put at R1 .

3)If we hedge our position at EOD and the next days market open against our intial position (e.g now we have both call and put with SL and SL is not hit) ,should we wait for SL to be hit or covered the loss making call/put. IF we dont then should we starts a day with new position as per mkt direction and previous day position to carry forward upto friday and then square it off on friday as SL is not hit and its also hedged so our profit is safe there?

Dear gurprB2J,

You can book profit by EOD if you want. It all depends on ones risk appetite.

If one carries position, one should exit from both call and put simultaneously on safer side. Then, start fresh.

Regards

 

[gnani.js]

Hi Ghosh,

Newbee here :thumb:, How do you decide to check for a difference of 20 at each interval. Do we have any formula for this. Is it same for that diff 300 - 400 you are considering for a week turnover of NSE.

 

[gurprB2J]

Dear gurprB2J,

You can book profit by EOD if you want. It all depends on ones risk appetite.

If one carries position, one should exit from both call and put simultaneously on safer side. Then, start fresh.

Regards

Thanks Ghosh sir for your prompt and simple reply.sir but one question remains unanswered, pls do reply
sir few lines as in your first post is confusing me,if possible pls do explain it bit further . Lines are follows:

Price at 3:00PM - Price at 12:30 PM ) =<20 pts square off profit making put or hold it for next day and hedge the position by buying call at S1.
If (Price at 3:00PM - Price at 12:30 PM ) >=20 pts square off profit making call or hold it for next day and hedge the position by buying put at S1.

so sir in case of open put/call position ,how we hedge it at EOD
thanks once again

 

[Gkn]

Dear gurprB2J,
I will try to explain the doubt with example
suppose
s1 for the wk = 4700 and r1 for the wk = 4900
On monday, Nifty spot at 9.05 = 4800 and nifty spot at 9.30 = 4815 so difference = <20
no action
Now If Nifty spot at 12.30=4780 (4780-4815 =>-20) and 4900 put is at 150, buy 4900 put at Rs 150

Now (1) if Nifty spot at 3.00 PM is 4700 (4700-4780 =>-20) and 4900 put is
at at 212, square off this profit making put (as it has reached target
or
(2) if Nifty spot at 3.00 PM is 4750, (4750-4780 = >-20) and 4900 put is
at 165 and 4700 call is at 135, put has not reached target so hold
the put and buy 4700 call (hedge) before 3.30 for tomarrow.

Hope it is clear
regards

 

[ghosh_ak34]

Thanks Ghosh sir for your prompt and simple reply.sir but one question remains unanswered, pls do reply
sir few lines as in your first post is confusing me,if possible pls do explain it bit further . Lines are follows:

Price at 3:00PM - Price at 12:30 PM ) =<20 pts square off profit making put or hold it for next day and hedge the position by buying call at S1.
If (Price at 3:00PM - Price at 12:30 PM ) >=20 pts square off profit making call or hold it for next day and hedge the position by buying put at S1.

so sir in case of open put/call position ,how we hedge it at EOD
thanks once again

Dear gurprB2J,

Hedging is done by taking a reverse position. If you are having a call then, buy put and vise versa, if yoiu want to carry your position next day as said.

Regards

 

[ghosh_ak34]

Dear Friends,

For Nifty Future traders who would like to trade as per trend check strategy posted in 1st post of the thread, Nifty levels for tomorrow are as under:

Resistence at 4900
Support at 4790

If you go short 1 lot then, buy 1 lot at money or near money call and if you go long 1 lot then, buy 1 lot at money or near money put to hedge. Reco. to trade as per trend check strategy posted in 1st post of this thread.

Regards