Banknifty Weekly expiry 12 May 2021 - OI data and Trade Setup
Hi TradingView Members,
As per the analysis of BankNifty Open Interest Data, 33000 followed by 32500 has the highest open interest on the PE side. Similarly 33500 followed by 33000 has the highest open interest on CE side.
The MACD lines are kissing each other and there is no major Divergence over the short term period. Given that the BnF expiry is earlier this week by 1 day, I expect the market to be rangebound and playing between these 2 lines and no major shocks considering the heavy bets placed in these 2 strike prices - 33000 to 33500.
India Vix has cooled off giving Option writers "cool" profits.
View: Sideways movement between the tight range will let Option writers make more money on both sides
Please note: This post is only for Educational purposes only and should not be construed as advisory / recommendation.
As per the analysis of BankNifty Open Interest Data, 33000 followed by 32500 has the highest open interest on the PE side. Similarly 33500 followed by 33000 has the highest open interest on CE side.
The MACD lines are kissing each other and there is no major Divergence over the short term period. Given that the BnF expiry is earlier this week by 1 day, I expect the market to be rangebound and playing between these 2 lines and no major shocks considering the heavy bets placed in these 2 strike prices - 33000 to 33500.
India Vix has cooled off giving Option writers "cool" profits.
View: Sideways movement between the tight range will let Option writers make more money on both sides
Please note: This post is only for Educational purposes only and should not be construed as advisory / recommendation.
Comment:
As an option writer, am liking the sideways movement! you can write 33200 CE safely to enjoy the premium tomorrow!
Expecting a voilent but rubber tight expiry tomorrow below 33000
Expecting a voilent but rubber tight expiry tomorrow below 33000
Clear lesson: Option Writers make the most Money