PUT and CALL options

[columbus]

JUN series DAY-17 Nifty=5115 (-31)

In this JUN series we have 6 DOWN and 11 UP days as follows.
DUUUUUDUUDUDUUUDD

Now the Expiry Zone is confined to 5100 Strike.

For the first time in this series (hardly 3 days left in this series !!!) even the
higher strikes are fading out !!! (5200,5300....etc).
Look at the PRICE also ,5100CE @ 40.2 and 5200CE @ 7.85 .Wide Gap ,which was not noticed in previous expirys.

 

[timepass]

Today the puts tripled in value. Maybe the same thing will happen to some calls before the series is out.

 

[columbus]

Today the puts tripled in value. Maybe the same thing will happen to some calls before the series is out.

RBI actions did not cheer the market.If you look at Bollinger Bands, last
few days candles did not touch the top band ,and in fact moving away from
the top, indicating a REVERSAL on card.

 

[timepass]

RBI actions did not cheer the market.If you look at Bollinger Bands, last
few days candles did not touch the top band ,and in fact moving away from the top, indicating a REVERSAL on card.

Not necessarily a reversal.. the top is moving away from the candles because the bands are expanding. It could go either way, but the odds should favor the bulls because 1) the candles are in the upper half, 2) 20SMA is still green 3) both the upper and lower bands are uptrending.

 

[arun_icwa1987]

Hi all.... what are the factors that determining Nifty points....?

 

[columbus]

Hi all.... what are the factors that determining Nifty points....?

Many things.

1.BUDGET
2.RBI Credit Policy/Actions from time to time.
3.Monsoon
4.Local Conditions like inflation, industrial growth ,Political uncertainty etc
5.Global conditions

Apart from them, the movement of INDIVIDUAL components of NIFTY.

 

[salilpoo]

Hi all.... what are the factors that determining Nifty points....?

If you mean the weight-age of individual scripts check this

http://nseguide.com/press-releases/nse-index-weights-based-on-nse-daily-bhav-copy/

 

[columbus]

JUN series DAY-18 Nifty=5121 (6)

In this JUN series we have 6 DOWN and 12 UP days as follows.
DUUUUUDUUDUDUUUDDU


Expiry Zone continues to be confined to 5100 strike.

THETA (time decay):
The option's theta is a measurement of the option's time decay.
The theta measures the rate at which options lose their value,
specifically the time value, as the expiration date draws nearer.
Generally expressed as a negative number, the theta of an option
reflects the amount by which the option's value will decrease every day.
(courtesy:theoptionguide.com)

 

[columbus]

JUN series DAY-19 Nifty=5142 (21)

In this JUN series we have 6 DOWN and 13 UP days as follows.
DUUUUUDUUDUDUUUDDUU


This generally happens on EXPIRY DAY.But it has happened a day before
in this expiry in series.[All Strikes are in WHITE font.]

THETA (time decay):
The option's theta is a measurement of the option's time decay.
The theta measures the rate at which options lose their value,
specifically the time value, as the expiration date draws nearer.
Generally expressed as a negative number, the theta of an option
reflects the amount by which the option's value will decrease every day.
(courtesy:theoptionguide.com)

 

[niludeepak]

columbus sir,

i ve not seen any simpler yet marvelous analysis of such a complicated thing as option data in the whole web.

this is why they say genius is simple.

sir i request u to post some write-ups as to, when and which strategy, to go for, in options, under different conditions upto expiry cycle.

or if u have already written such a post, pl. direct me to the same

Thanx