Option Buy Recomendations

[ghosh_ak34]

Hi Ghosh,

I have not understood meaning of following statement. Pls explain with example.
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

Dear rrmhatre72,

Have answered this earlier as well. Please go thru the previous posts before raising any fresh query.

It seems you need to understand options. Refer 888options.com or traderjito learn options.

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 5300
Support at 5240

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]

What do u all think about ASHOKLEY and RNRL option. They r trading at really high prices, should i go for call option in this stocks and with what strike price.

Dear deven,

Both these have entered into overbought zone. So would not reco. a call buy.

Regards

 

[rupesh_x2x]

dear all nifty will go 5100 very soon maybe in this week

 

[scplindia]

Dear deven,

Both these have entered into overbought zone. So would not reco. a call buy.

Regards

Ashok leyland, has gone up post news, and as mentioned by Ghosh, is in overbought zone, profit booking is expected, I am considering going short on this counter, if it goes up on monday for a taget of 50 to 54 until month end.

RNRL, though it is in ovebought zone, it is going up in anticipation of news - favourable court verdict from SC, so you can consider going long on dips, till the news.

 

[scplindia]

dear all nifty will go 5100 very soon maybe in this week

Can you suggest why

 

[deven_c]

Ashok leyland, has gone up post news, and as mentioned by Ghosh, is in overbought zone, profit booking is expected, I am considering going short on this counter, if it goes up on monday for a taget of 50 to 54 until month end.

RNRL, though it is in ovebought zone, it is going up in anticipation of news - favourable court verdict from SC, so you can consider going long on dips, till the news.

so should i buy call for RNRL and put for ASHOKLEY and at what point should i do this and shouldi buy ITM, ATM or OTM option

 

[deven_c]

i have bought SUZLON call option for may2010 strike 65 and premium 5.85. I thought that it have gone down considerably and will not go down further. But i m not sure that am i right here. So please can u seniors help me here. What should i do and when should i exit. This is my first option trade and i dont want this to be the last. Please guys help me here.

 

[scplindia]

Askley put and RNRL options are illiquid, need to be careful when you trade these as you may not get the exit when you need to, also option costs will be high, and writers are fully aware of the news, & what to expect from the news, so they will never sell it cheap.

Buy RNRL only on dips.

Trade only if your are convinced and after through study.

 

[scplindia]

i have bought SUZLON call option for may2010 strike 65 and premium 5.85. I thought that it have gone down considerably and will not go down further. But i m not sure that am i right here. So please can u seniors help me here. What should i do and when should i exit. This is my first option trade and i dont want this to be the last. Please guys help me here.

Be careful, as suzlon will fall with nifty, monday everybody is expecting nifty to gapdown based on world markets. Suzlon is in downtrend, and broken all supports. Nifty trend is also heading south, because of uncertainty over PIIGS countries, Goldman Sach.

NEVER trade on HOPE, you will loose money.