Nifty strategy for Feb series

Feb 8

Nifty is continuously testing the resistance zone showing signs of strength

Given the set up, one may consider a short strangle strategy

An example of Short Strangle
Sell Nifty 29 Feb expiry
21700 Put option around 160
22450 Call option around 140

Total incoming 300 points.

Max profit potential of approx 12% on Margin Capital

Inbuilt protection
- for a rise up to 22750 or
- for a fall up to 21400

Review zone
If Nifty crosses 22450 or
If Nifty falls below 21700

Thereby giving ample scope to adjust / exit with minimum damage.


Take care and safe trading...!!!

Disclaimer:
- The view is my personal opinion
- trading in F&O is very risky
- pls do due diligence and research
- It is your hard earned money so treat it wisely
- consult with your Financial adviser

Feb 8

Note

Nifty update
Nifty down almost 200 points from when Nifty chart was updated

Strategy update
Nifty 21700 Put 213
Nifty 22450 Call 87

Total 213+87 = 300
No loss in strategy so far despite Nifty being 200 points down

Strategy is able to manage itself...

Take care and sage trading

Feb 9

Note

Nifty strategy update
Nifty 21700 Put LTP 221.85
Nifty 22450 Call LTP 69.85

Net 300 - 291.7 = 8.3 points

Take care & safe trading...!!!

Mar 1

Trade closed: target reached

Nifty Strategy
Nifty 21700 Put 0
Nifty 22450 Call 0

Despite the ups and down, the strategy pocketed 300 points and yielded the desired results managing risk on itself all through...