________________________________________________________________________________๐ HDFCAMC โ Bullish Momentum with Short Covering Base
๐ Setup Date: 18.07.2025 | โฑ Timeframe: Daily
๐ Strategy: Momentum Trade Setup with Defined Risk
________________________________________________________________________________
๐ Overall View
Spot Price: โน5590
Trend: Bullish Bias โ Price sustaining above 5500 with momentum
Volatility: IV ~26โ29%, relatively stable with mild contraction
Ideal Strategy Mix: Directional long with partial risk spreads
________________________________________________________________________________
1๏ธโฃ Bullish Trade (Naked options as per trend)
Best CE:โBuy 5700 CE @ โน60.75
Why:
โข Long Build-Up (+11.91% OI) with price โ6.49% = bullish conviction
โข Strike just โน110 above spot โ good balance of delta (0.41) and premium
โข High TTV (โน89.9 Cr) and stable IV (~26.6%) โ institutional activity
โข CE 5600 also active, but 5700 is cleaner structure due to fresh longs
________________________________________________________________________________
2๏ธโฃ Bearish Trade (Contrarian Trade โ if present)
Best PE:โSell 5500 PE @ โน59.5
Why:
โข Short Build-Up on 5500 PE (+118.7% OI), but price โ45.84% โ strong put writing
โข Spot comfortably above strike (โน5590), adding margin of safety
โข IV stable โ theta decay benefits seller
โข Acts as support-level hold strategy in case of mild retracement
________________________________________________________________________________
3๏ธโฃ Strategy Trade (As per trend + OI data)
Strategy:โBull Call Spread โ Buy 5700 CE / Sell 5800 CE
โโโโโโโ โน60.75 / โน34.15
โโโโโNet Debit: โน26.60
โโโโโMax Profit: โน100 (spread width) โ โน26.60 = โน73.40
โโโโโMax Loss: โน26.60
โโโโโRisk:Reward โ 1 : 2.75 โ
โโโโโLot Size: 150
โโโโโTotal Risk: โน3,990
โโโโโMax Profit: โน11,010
๐ Breakeven Point: โน5726.60
๐ Reversal Exit Level: Exit if Spot < โน5550 (invalidates breakout + weakens CE 5700)
________________________________________________________________________________
Why:
โข Strong Long Build-Up at 5700 CE, resistance only mild at 5800
โข High IVs make selling 5800 CE favourable โ lowers net debit
โข Defined risk with RR โ 1:2.75 fits your trade rule
โข Market supports bullish continuation over 5600-5650 levels
________________________________________________________________________________
๐ My Trading Setup Rules
Avoid Gap Plays
โ Check pre-open price action to avoid trades influenced by gap-ups/gap-downs.
Breakout Entry Only
โ Enter trades only if price breaks previous dayโs High (for bullish trades) or Low (for bearish trades).
Watch Volume for Confirmation
โ Monitor volume closely. No volume = No trade.
Enter on Strong Candle + Volume
โ Execute the trade only if a strong candle appears with increasing volume in the direction of the trade.
Defined Risk:Reward Only
โ Take trades only if R:R is favourable (ideally โฅ 1:2)(safe = 1:1).
Premium Disclaimer
โ Option premiums shown are based on EOD prices โ real-time premiums may vary during execution.
Time Frame Preference
โ Trade with your preferred time frame โ this strategy works across intraday or positional setups.
________________________________________________________________________________
โ Disclaimer (Please Read):
โข These Trades are shared for educational purposes only and is not investment advice.
โข I am not a SEBI-registered advisor.
โข The information provided here is based on personal market observation.
โข No buy/sell recommendations are being made.
โข Please do your own research or consult a registered financial advisor before making any trading decisions.
โข Trading involves risk. Always use proper risk management.
I am not responsible for trading decisions based on this post.
________________________________________________________________________________
๐ Setup Date: 18.07.2025 | โฑ Timeframe: Daily
๐ Strategy: Momentum Trade Setup with Defined Risk
________________________________________________________________________________
๐ Overall View
Spot Price: โน5590
Trend: Bullish Bias โ Price sustaining above 5500 with momentum
Volatility: IV ~26โ29%, relatively stable with mild contraction
Ideal Strategy Mix: Directional long with partial risk spreads
________________________________________________________________________________
1๏ธโฃ Bullish Trade (Naked options as per trend)
Best CE:โBuy 5700 CE @ โน60.75
Why:
โข Long Build-Up (+11.91% OI) with price โ6.49% = bullish conviction
โข Strike just โน110 above spot โ good balance of delta (0.41) and premium
โข High TTV (โน89.9 Cr) and stable IV (~26.6%) โ institutional activity
โข CE 5600 also active, but 5700 is cleaner structure due to fresh longs
________________________________________________________________________________
2๏ธโฃ Bearish Trade (Contrarian Trade โ if present)
Best PE:โSell 5500 PE @ โน59.5
Why:
โข Short Build-Up on 5500 PE (+118.7% OI), but price โ45.84% โ strong put writing
โข Spot comfortably above strike (โน5590), adding margin of safety
โข IV stable โ theta decay benefits seller
โข Acts as support-level hold strategy in case of mild retracement
________________________________________________________________________________
3๏ธโฃ Strategy Trade (As per trend + OI data)
Strategy:โBull Call Spread โ Buy 5700 CE / Sell 5800 CE
โโโโโโโ โน60.75 / โน34.15
โโโโโNet Debit: โน26.60
โโโโโMax Profit: โน100 (spread width) โ โน26.60 = โน73.40
โโโโโMax Loss: โน26.60
โโโโโRisk:Reward โ 1 : 2.75 โ
โโโโโLot Size: 150
โโโโโTotal Risk: โน3,990
โโโโโMax Profit: โน11,010
๐ Breakeven Point: โน5726.60
๐ Reversal Exit Level: Exit if Spot < โน5550 (invalidates breakout + weakens CE 5700)
________________________________________________________________________________
Why:
โข Strong Long Build-Up at 5700 CE, resistance only mild at 5800
โข High IVs make selling 5800 CE favourable โ lowers net debit
โข Defined risk with RR โ 1:2.75 fits your trade rule
โข Market supports bullish continuation over 5600-5650 levels
________________________________________________________________________________
๐ My Trading Setup Rules
Avoid Gap Plays
โ Check pre-open price action to avoid trades influenced by gap-ups/gap-downs.
Breakout Entry Only
โ Enter trades only if price breaks previous dayโs High (for bullish trades) or Low (for bearish trades).
Watch Volume for Confirmation
โ Monitor volume closely. No volume = No trade.
Enter on Strong Candle + Volume
โ Execute the trade only if a strong candle appears with increasing volume in the direction of the trade.
Defined Risk:Reward Only
โ Take trades only if R:R is favourable (ideally โฅ 1:2)(safe = 1:1).
Premium Disclaimer
โ Option premiums shown are based on EOD prices โ real-time premiums may vary during execution.
Time Frame Preference
โ Trade with your preferred time frame โ this strategy works across intraday or positional setups.
________________________________________________________________________________
โ Disclaimer (Please Read):
โข These Trades are shared for educational purposes only and is not investment advice.
โข I am not a SEBI-registered advisor.
โข The information provided here is based on personal market observation.
โข No buy/sell recommendations are being made.
โข Please do your own research or consult a registered financial advisor before making any trading decisions.
โข Trading involves risk. Always use proper risk management.
I am not responsible for trading decisions based on this post.
________________________________________________________________________________
๐ STWP | Mentor | Demand & Supply Specialist
๐ฏ Helping you become a self-reliant & independent trader
๐ Learn more: simpletradewithpatience.com
๐ฒ WhatsApp: wa.me/919987567889
๐ Trade with Clarity. Learn with Patience.
๐ฏ Helping you become a self-reliant & independent trader
๐ Learn more: simpletradewithpatience.com
๐ฒ WhatsApp: wa.me/919987567889
๐ Trade with Clarity. Learn with Patience.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
๐ STWP | Mentor | Demand & Supply Specialist
๐ฏ Helping you become a self-reliant & independent trader
๐ Learn more: simpletradewithpatience.com
๐ฒ WhatsApp: wa.me/919987567889
๐ Trade with Clarity. Learn with Patience.
๐ฏ Helping you become a self-reliant & independent trader
๐ Learn more: simpletradewithpatience.com
๐ฒ WhatsApp: wa.me/919987567889
๐ Trade with Clarity. Learn with Patience.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.