Option trading strategies that i hope will work.

[stockBond]

Can someone throw some light on price of NTPC in coming days ?
Looks bullish......even when the overall market is down NTPC doesn't fall much. And has crossed 185(highest in past three months) in this bearish market.......So can we expect it to reach 190+ levels ?

 

[smpsd]

only if nifty is around 2850+ levels

 

[smpsd]

Anybody traded JP Associates 70 Put. I think soon it will touch 70 with option gaining around 2 to 2.80rs from .90.My average for 2 lots is 1.15

 

[detrich]

Plz explain the process of shorting. How much money should be in a/c before I short-sell in icicidirect? Does that money get blocked until I square-off ?

Dear StockBond,

First of all you need an corporate account.Individual's are not allowed to short in options. Secondarily you should have the minimum prescribed options Margin as deposit and yes the money including the margin will be blocked till you square-off. I hope I have answered your questin satisfactorily and sorry for the delay.

 

[AW10]

Dear StockBond,

First of all you need an corporate account.Individual's are not allowed to short in options. Secondarily you should have the minimum prescribed options Margin as deposit and yes the money including the margin will be blocked till you square-off. I hope I have answered your questin satisfactorily and sorry for the delay.

I don't think we need any type of Corporate account to short option (i.e. selling option chain first and buying it back later). I am into option writing and I have regular trading account.

We certainly need margin amount upfront else the order will not be accepted by broker.
And ofcourse, not to forget, that option shorting involves high amount of risk.

Happy Trading.

 

[mash_jorss]

Hello everyone,
Can anyone tell me wats the procedure to exercise option contract of index and stock & what if i buy one option contract & it gets in the money till end & i dont take any action then will it exercise automatically ........ pls help me im bit confused........

Thanx

 

[detrich]

Dear people,

It seems the market have lost steam are in no mood to move in either side. Which is very sad. I hate traders market. which is precisely what it is currently and will remain so until some clear economic indicator comes to the front. Hence be careful in investing in anything. This is the worst time to be in equity markets. Those of you who have bought call options expiring in December should consider exercising at any levels higher than 5181. This the last leg of the 5th wave according the my EWT count(which means nothing, but, still incase anybody is intrested in knowing. This is a bullish trading market hence the dips are not going to be so violent as last one's were but due to increased liquidity who knows? So be advised currently I have no positions so I will not report them. But if I had any positions It would be to short Nifty at 5101 and buy nifty at 5132. In short my target for next week would be 4970(Anything below and it would signal end of a bull rally in the short term) and for buy 5263(Which I feel is far-fetched but I would exit it after that. I do not see markets moving above 5300 in December and 5500 till febuary. Hence trading will tough and volatile. Good Luck to everybody).

Hope the best trades win. Good Luck everybody good night.

 

[detrich]

short Nifty @ 5096.

 

[detrich]

Stop Loss @ 5071.

 

[detrich]

Tommorow if markets open near today's low then I will carry forward this trade or I will just exit it.