PUT and CALL options

[timepass]

Seems like the loss (percentagewise) in puts is double the gain in the CEs. Theta due to long weekend ? or maybe lack of confidence in CEs

 

[columbus]

Seems like the loss (percentagewise) in puts is double the gain in the CEs. Theta due to long weekend ? or maybe lack of confidence in CEs

Looks like lack of confidence in CEs.
Trading OPTIONS is like playing T-20 match in cricket.
Each ball UNSCORED after 10 overs puts a lot of pressure on remaining balls.
A series is on average is 22-day affair.If it is less than that THETA may be severe.
Just before EXPIRY markets tend to be very VOLATILE ,just ride the TREND instead of
catching it.

 

[columbus]

Aug.18 AUG-series Day.11 Nifty= 7874 (82)

The Expected Range has moved UP to (7900~7700) from (7800~7600).

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)

3 strikes above and 3 strikes below,as shown ,are analyzed as shown..

Based on Today's Open Interest the Option Chain looked like this:

 

[columbus]

Aug.19 AUG-series Day.12 Nifty= 7897 (23)

The Expected Range has moved UPWARD on bottom side to (7900~7750) from (7900~7700).

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)

3 strikes above and 3 strikes below,as shown ,are analyzed as shown..

Based on Today's Open Interest the Option Chain looked like this:

 

[coolbull]

@columbus...

Incredible work, do u pair trade based on OI,COI or on confirmation of trend?

 

[columbus]

@columbus...

Incredible work, do u pair trade based on OI,COI or on confirmation of trend?

@coolbull,

Thanks.I trade using NAKED options.Occasionally Trade using PAIR based ,based on TREND.

 

[subratdas]

Dear Columbus ji, Is the expiry range decided only based in open interest ?I am not able to catch the process ? 7800 op int is higher than 7900. Why not 7800 is taken as upper range?
Thanx / Subrat

 

[desiwarrenbuffet]

Iam new to option trading,I would like to ask the following question
I have purchased 1 lot call of Nifty 7950 at rate of 26.85. Now the LTP is 35.60 & nifty at 7895.Now it is showing profit of 437.If I sell it at this price,will i get this pofit or I have to wait uptill Nifty reaches 7950.Please seniors guide me,for you it may be a silly question but for me it will be eyeopener in this new field

 

[stock72]

if u sell now u will 437 rupees.

suppose if you wait till expiry ( last Thursday of every month and for this month it is 28th ) and on that day if nifty close at or below 7950 u will get 0 . if nifty close above 7950 then u will get ---- nifty close price -your buy rate + tax.

Iam new to option trading,I would like to ask the following question
I have purchased 1 lot call of Nifty 7950 at rate of 26.85. Now the LTP is 35.60 & nifty at 7895.Now it is showing profit of 437.If I sell it at this price,will i get this pofit or I have to wait uptill Nifty reaches 7950.Please seniors guide me,for you it may be a silly question but for me it will be eyeopener in this new field

 

[columbus]

Columbus, Is the expiry range decided only based in open interest ?I am not able to catch the process ? 7800 op int is higher than 7900. Why not 7800 is taken as upper range?
Thanx / Subrat

Hi subratdas,

This involves 2 stages.

1.When OI changes drastically say from LAKHS to MILLIONS ,it will give ONE boundary.
Four such boundaries will give entire CALL window and PUT window.
Cross-section of these windows AUTOMATICALLY defines the RANGE.

(Midway in the SERIES OI is taken 1Million to 1.5 Million)

2.Once the RANGE is established all Options whose PRICE is less than 10Rs are marked
WHITE and STRIKES are removed.