Nifty: Chart set up & potential trade strategy
Updated
Nifty
Closing Price 14199
Observations
- we see a co-relation in the 2 trending Zone between May 20 to July 20 and current trending zone from which started in late October
- Now if the pattern is to continue we might be in for a range bound market till March 2021...
Given the chart set up one may consider the following strategy for February series
Consider to
Sell Nifty 25 Feb expiry 14700 Call Option (Closing Price 240) &
Sell Nifty 25 Feb expiry 13400 Put Option (Closing Price 169)
Max profit potential in strategy Rs 30675/- per strategy trade till 25 Feb 2021 (20% max ROI potential till 25 Feb 2020)
Risks involved in the trade
- result calendar would start soon
- Budget event in February
The strategy provides a Risk cover for a rise in Nifty index price up to 15109
or drop in price up to 12991 till 25 Feb 2021
Take care & safe trading...!!!
Disclaimer:
- The view expressed here is my personal view
- Past performance is not a guarantee for future predictions
- Use this for educational purpose
- Any decision you take, you need to take responsibility for the same
- It's your hard earned money. Treat it wisely
- Trade / Invest keeping in mind your trading style, goals and objectives, time horizon & risk tolerance
- if trading in F&O, understand that F&O trading involves risk
- Do take proper risk management measures
- Do your own analysis and consult your financial adviser if need be
Closing Price 14199
Observations
- we see a co-relation in the 2 trending Zone between May 20 to July 20 and current trending zone from which started in late October
- Now if the pattern is to continue we might be in for a range bound market till March 2021...
Given the chart set up one may consider the following strategy for February series
Consider to
Sell Nifty 25 Feb expiry 14700 Call Option (Closing Price 240) &
Sell Nifty 25 Feb expiry 13400 Put Option (Closing Price 169)
Max profit potential in strategy Rs 30675/- per strategy trade till 25 Feb 2021 (20% max ROI potential till 25 Feb 2020)
Risks involved in the trade
- result calendar would start soon
- Budget event in February
The strategy provides a Risk cover for a rise in Nifty index price up to 15109
or drop in price up to 12991 till 25 Feb 2021
Take care & safe trading...!!!
Disclaimer:
- The view expressed here is my personal view
- Past performance is not a guarantee for future predictions
- Use this for educational purpose
- Any decision you take, you need to take responsibility for the same
- It's your hard earned money. Treat it wisely
- Trade / Invest keeping in mind your trading style, goals and objectives, time horizon & risk tolerance
- if trading in F&O, understand that F&O trading involves risk
- Do take proper risk management measures
- Do your own analysis and consult your financial adviser if need be
Note
Nifty is back to square 1Our Nifty strategy update
Nifty 14700 Call option (Sold well above 240)
CMP 201
Nifty 13400 Put option (Sold at 170)
CMP 94
Net profit in strategy
75 * [ (240-201) + (170-94) ] = Rs 8625/- per strategy lot
Take care & happy trading...!!! 😀
Note
Our Nifty strategy updateNifty 14700 Call option (Sold well above 240)
CMP 76
Nifty 13400 Put option (Sold at 170)
CMP 194
Net profit in strategy
75 * = Rs 10500/- per strategy lot
Take care & happy trading...!!! 😀
Note
Nifty 14281Major results are out.... Budget is done with....
Strategy update
Nifty 14700 Call option Closing price 160 ( Sold at 240)
Nifty 13400 Put Option Closing price 67 ( Sold at 170)
Net profit in strategy
75*[(240-160)+(170-67)] = Rs 13725/- per lot
Despite the market ups and down the strategy is profitable...
Enjoy...!!!
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Disclaimer
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