Reliance: Chart set up & trading strategy for July F&O expiry
Reliance
The stock recently made a high of 2261
On the lower side, 2067 / 2000 are important support levels
Given the set up
One may consider the following Short strangle strategy for July series
Sell 29 July expiry 2260 Call option around 35
Sell 29 July expiry 2000 Put option around 25
Max profit potential of Rs 15000 per strategy lot till expiry (approximately 14% ROI)
Loss in strategy only if Closing on 29 July is either above 2320 or below 1940
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
The stock recently made a high of 2261
On the lower side, 2067 / 2000 are important support levels
Given the set up
One may consider the following Short strangle strategy for July series
Sell 29 July expiry 2260 Call option around 35
Sell 29 July expiry 2000 Put option around 25
Max profit potential of Rs 15000 per strategy lot till expiry (approximately 14% ROI)
Loss in strategy only if Closing on 29 July is either above 2320 or below 1940
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
Trade closed: target reached:
Reliance
Results would be announced today after market hours but our strategy has already done its work.
On 25 June 2021
We highlighted support at 2067 / 2000. Low made in last 1 month so far 2066.10
Need we say any thing more how Technical Analysis can be useful...
It's been almost a month now when the strategy was suggested.
Strategy update ( given on June 25, 2021)
Reliance 29 July expiry
2260 Call option : 6.1 (suggested selling around 35)
2000 Put option : 2.9 (suggested selling around 25)
Profit in the strategy
250 * ( 60 - 9) = Rs 12750/- per strategy lot
Consider booking profits and close the trade
Enjoy and Happy trading...!!! 🙂
Results would be announced today after market hours but our strategy has already done its work.
On 25 June 2021
We highlighted support at 2067 / 2000. Low made in last 1 month so far 2066.10
Need we say any thing more how Technical Analysis can be useful...
It's been almost a month now when the strategy was suggested.
Strategy update ( given on June 25, 2021)
Reliance 29 July expiry
2260 Call option : 6.1 (suggested selling around 35)
2000 Put option : 2.9 (suggested selling around 25)
Profit in the strategy
250 * ( 60 - 9) = Rs 12750/- per strategy lot
Consider booking profits and close the trade
Enjoy and Happy trading...!!! 🙂
Related Ideas
Strategy update ( given on June 25, 2021)
Reliance 29 July expiry
2260 Call option : 11.50 (suggested selling around 35)
2000 Put optoin : 12.50 (suggested selling around 25)
Profit in the strategy
250 * ( 60 - 24) = Rs 9000/- per strategy lot
For risk management measures,
Consider 50% profit booking if having more than 1 Strategy lots or
consider booking profits as per risk your appetite
Happy trading...!!! 🙂