PUT and CALL options

[dipankar_ghosh]

Columbus sir, any chance of retrieving loss on my Tata steel July 550 call bought at 18/.

 

[columbus]

July.15 JULY-series Day.13 Nifty= 7526 (72)

The Expected Range is at (7400~7700) for THIRD day.

5 strikes below and 5 strikes above including the current strike ,are analyzed.

Open Interest (Today) over 5 Lakhs is indicated in YELLOW bold. (If any)
Open Interest (Today) less than 5 Lakhs is indicated in YELLOW italics. (If any)

 

[columbus]

Columbus , any chance of retrieving loss on my Tata steel July 550 call bought at 18/.

Hi dipankar,

My knowledge about STOCK OPTIONS is rather limited. Instead ,I share with you, my
experience with NIFTY options.I took 7800CE nifty options at 12.80 ,a couple of days back.
Despite of good INFLATION numbers and 72 point UPMOVE in nifty ,these options closed
at 10.80. Yesterday INFLATION number came.But Yesterday NIFTY ended RED.Surprising
it went up by 72 points today.Market sources has attributed this rise due to good inflation
numbers.Then market sources did not know it, yesterday itself these number was good ?

I am holding CALLs ,just for one reason that ,this series is a big one.

Once EXPIRY is nearer ,better not to AVERAGE.If you are highly BOLD enough PLUS
with a view to square within the day ,then you can try it. Otherwise a big NO.

 

[Riskyman]

Columbus,

The WPI numbers came during market hours yesterday and the CPI numbers came at 530 pm yesterday. The market really doesn't care for WPI numbers as RBI has its eyes only on CPI numbers which were much better than what the market expected. Having said that, I personally do not think that an uptick in inflation numbers had anything to do with the pull back we saw today. Tomorrow if 7513 holds we may rally up to 7570/7615 again. US markets in a bit of red as of now so we could test break 7500 on the downside too.

I see 7300/7100 Puts being written now. What do you make of it?

 

[raghavavalleti76]

Respected sir,

i am new for trading in options. can i bought 7700ce @27 tommorrow.

Raghava

 

[raghavavalleti76]

Thank you friends for shareing your knowledge like me people.

I don't know about the share market but trading nifty options only. every time i trade with Rs10000 and lose that amount and stoped some time and start agin. loke that more than 2o times.

Don't think bad, because all my frieds were discouraging every time. my mind also think like that. i am failure trader. But i strongly belive one find morning i will win.

So i started learning in that i got this web site. please share me your experience with me.

Thank you all the members
Raghava

 

[columbus]

Columbus,

The WPI numbers came during market hours yesterday and the CPI numbers came at 530 pm yesterday. The market really doesn't care for WPI numbers as RBI has its eyes only on CPI numbers which were much better than what the market expected. Having said that, I personally do not think that an uptick in inflation numbers had anything to do with the pull back we saw today. Tomorrow if 7513 holds we may rally up to 7570/7615 again. US markets in a bit of red as of now so we could test break 7500 on the downside too.

I see 7300/7100 Puts being written now. What do you make of it?

Hi Riskyman,

Yes, I personally do not think that an uptick in inflation numbers had anything to do with the pull back we saw today.

 

[Riskyman]

Hi Riskyman,

Yes, I personally do not think that an uptick in inflation numbers had anything to do with the pull back we saw today.

Nifty high on the spot at least un till 1240 pm is 7568. Unless we go above 7570 and close we are likely to see some downward pressure.

Any thoughts on 7300 Pe being written heavily?

 

[columbus]

July.16 JULY-series Day.14 Nifty= 7624 (98)

The Expected Range is at (7400~7700) for FOURTH day.

5 strikes below and 5 strikes above including the current strike ,are analyzed.

Open Interest (Today) over 5 Lakhs is indicated in YELLOW bold. (If any)
Open Interest (Today) less than 5 Lakhs is indicated in YELLOW italics. (If any)

The move after 2.30PM was really unexpected, especially after yesterday's excellent run.

 

[columbus]

Any thoughts on 7300 Pe being written heavily?

Hi Riskyman,

I am a bit not in favour of WRITING options ,just because the amount involved in writing them.
7300PE has closed at 7.70 (Rs 8 approx).Mostly OTM OPTIONS are written with a view ,that at
EXPIRY they end at ZERO (worthless).That means you can make a cool profit of 8 Rs ,if these
options are held.But each lot ,attracts not only PREMIUM but also MARGIN as much as one lot
of FUTURE ,if OPTIONS are written. Retail investor can not take them in big quantity.(Lot of margin is involved).
Now a simple question "Can not make ,just 8Rs in 10 odd days (till the Expiry)?"