Option Trading Psychological Factors for Profit
a) Patience
Wait for setup confirmation.
b) Discipline
Follow risk rules.
c) Emotion Control
Avoid greed.
Book profits early.
d) Backtesting
Practice improves profitability.
Chart Patterns
NCC: Price, Psychology and the Power of PatienceThis chart is not about forecasting the next move.
It’s about understanding how price behaves and how traders react.
The sharp vertical rally marks the zone where emotions peak and the crowd gets excited.
What follows is not weakness — it’s the market cooling down and resetting expectations.
Most traders struggle in this phase.
Price moves slower, reactions are mixed, and conviction fades.
This is where patience starts to matter more than opinions.
Instead of chasing momentum, I focus on long-term structure and key reference levels.
I let price travel back into areas where risk becomes defined and behaviour becomes predictable.
Markets don’t reward urgency.
They reward those who wait while others react.
This is how I approach charts:
Price first. Structure always. Patience above everything.
Patience over prediction.
Structure over hype.
WIPRO: Where Most Get Impatient, Price Gets ReadyMost people lose money not because the market is difficult, but because they can’t sit still when price asks them to.
WIPRO has already done the hard work in the past — a long decline, a rounded base, and a strong recovery leg. Now price is not trending aggressively; it’s resting, compressing, and testing patience inside a narrow structure.
This phase is important because markets don’t move when everyone is excited — they move when impatience peaks and weak hands get shaken out. What we’re seeing here is not randomness, but controlled behaviour after a larger move.
I’m less interested in predicting the next candle and more focused on how price behaves near this structure. That behaviour decides whether this becomes continuation, expansion, or more time-based consolidation.
I don’t chase moves.
I watch how price prepares for them.
Already aligned with this structure from earlier levels — now patience matters more than action.
Quality over quantity. Structure over noise.
Part 2 Candle Patterns Profit Potential in Buying Options
a) Unlimited Upside in Call Buying
Max profit can be extremely high if stock surges.
b) High Return on Small Investment
Low premium gives high leverage.
Example: ₹5,000 investment generating ₹25,000 profit.
c) Best for Momentum Trades
Short-term sharp moves create strong premium expansion.
d) Limited Risk
Maximum loss = premium paid.
This helps manage losses clearly.
e) News-Based Profit Opportunity
Earnings announcements
Budget events
Interest rate decisions
Tech Mahindra Ltd – Breakout Trade IdeaTech Mahindra has very closed to broken out of a downward sloping trendline, signaling a potential trend reversal. The breakout is supported by increasing Put writing and Call unwinding at the 1600 strike, indicating strong support and bullish positioning in the derivatives segment.
Additionally, positive last quarter results strengthen the overall bullish outlook.
Trade Setup
Buy: ₹1605 (Current Market Price)
Targets: ₹1700 – ₹1750
Stop Loss: ₹1560 (Closing basis)
View: Bullish above ₹1600
Risk–Reward: Favorable
BitcoinBitcoin is currently trading in a clear downtrend on the daily timeframe. The chart shows a sequence of lower highs and lower lows, highlighted by repeated rising trendlines that break to the downside, confirming bearish continuation.
Indus Towers Ltd – Breakout Trade IdeaIndus Towers has given a breakout from a downward sloping trendline , indicating a possible trend reversal. The move is supported by increasing Put writing and Call unwinding at the 400 strike , showing strong support and bullish sentiment in the options data.
The stock is also backed by good quarterly results , adding strength to the price action.
Trade Setup
Buy: ₹408 (Current Market Price)
Target: ₹450
Stop Loss: ₹390 (Closing basis)
View: Bullish above ₹400
Risk–Reward: Favorable
Part 1 Candle Stick Patterns Understanding What Option Trading Profits Mean
Option trading profits refer to the financial gains a trader earns by buying or selling options contracts.
These profits arise from correctly predicting price movement in the market.
Options are leveraged instruments, so small price moves can generate large returns.
Profit is calculated based on premium difference, time decay, volatility changes, and strike-to-spot movement.
Bullish Flag Pattern is made in this stock.Bullish flag pattern observed in this stock, suggesting a potential upside move in the short term.
Target Price: ₹6738
Stop-Loss: ₹6160
Current Market Price: 6260 rs
BANKNIFTY AT PREV SUPPORT/RESISTANCEThere is a pattern formed by BANKNIFTY is almost symmetrical triangle having property of reversal or bigger trend following.
one more thing is here I would like to describe here is that today's low of BN is previous support and resistance as well.
Remember this is day chart.It's not buy/sell call.
IOB can rise after PSU stake saleI feel that all PSU banks are well positioned to move up
The ones that have the highest chances of getting sold off are IOB, central Bank as of now
Rumours of their Privatisation have been going around for a while
XAUUSD (Gold) Technical Outlook - 18/12/2025📊 XAU/USD Quick Outlook
Gold is trading near 4,326, showing short-term weakness, but the overall trend is still bullish on higher timeframes.
🔑 Key Levels
• Support: 4,320 – 4,300
• Resistance: 4,335 – 4,345
🟢 Bullish: Above 4,320 → targets 4,345 → 4,370+
🔴 Bearish: Below 4,320 → targets 4,300 → 4,260
📌 Intraday Tip:
Sell near resistance, buy near support only after confirmation.
⚠️ Expect volatility during USD news.
⚠️ Disclaimer: This analysis is for educational purposes only. Markets are volatile—trade with proper risk management and at your own risk.
Techm Wakes Up! Reversal CandidateHi Traders! Hope all you are doing well and doing good trades, So today I am sharing a clean technical setup which I’ve been tracking for weeks Tech Mahindra has finally given breakout from a multi-month falling wedge along with a horizontal resistance flip. The structure is now turning bullish, and the chart tells a very clear story.
Chart Observations-:
Falling Wedge Structure (May–Nov).
Price continued making lower highs and lower lows inside a narrowing wedge.
Both falling resistance and falling support have been respected multiple times.
Repeated bounces from the lower trendline (green arrows) indicate accumulation.
First Breakout Attempt – Rejection-:
Price attempted a breakout near the adjoining resistance in September.
Sharp rejection followed (red arrow), keeping the wedge intact.
This rejection later acted as a reference level for the final breakout.
Final Breakout with Strong Momentum-:
In early December, price decisively broke above the wedge’s falling resistance.
Breakout candles are wide-bodied and supported by rising volumes a strong technical sign.
Horizontal Resistance Flip-:
The stock crossed the old resistance zone near 1475 and then sustained above it.
This zone has now flipped into support, confirming bullish continuation.
The next major Target Resistance sits in the 1680–1720 region the logical wedge target projected from pattern height and price resistance too.
Technical Summary-
Pattern: Falling Wedge (bullish reversal)
Breakout: Clean and decisive
Market Structure: Lower-highs broken → Higher-highs forming
Resistance target: 1720
View: Bullish as long as price sustains above recent breakout zone.
This is one of those setups where price action aligns perfectly with classical charting principles.
Target is nearby 11% from current price so 1:2 Risk to reward looks good for me, Rest I will update the idea accordingly guys.
Thanks for reading.
Regards- Amit.
Santa Rally on the cards???!!!
**📊 NIFTY FUTURES - Bullish Setup Developing | Poor High + Weak Bears**
**Current Price:** 25,856.60 (-0.09%)
**🎯 BULLISH BIAS - Here's Why:**
**1️⃣ Poor High = Unfinished Business (Nov 27th)**
- Poor high at ~26,500 level needs revisiting
- Market typically returns to fill poor highs
- Double top shows rejection BUT creates magnetic level above
- Unfilled auction = High probability target zone
**2️⃣ D-Shaped Composite Profile = Accumulation**
- Strong D-shaped profile indicates SUPPORT building
- Smart money accumulating at lower levels
- Value area acceptance showing buyer strength
- Classic bottoming structure before markup phase
**3️⃣ Weak Bears in Descending Channel**
- Channel shows WEAK bearish momentum (not aggressive selling)
- Shallow angle = bears losing control
- Orderly decline suggests controlled retracement, not panic
**🔥 BULLISH CONFLUENCE:**
✅ Poor High (needs revisit)
✅ Support Zone + Accumulation (D-profile)
✅ Weak Bears (losing momentum)
**= STRONG BULLISH SETUP**
**Key Targets:**
- **Immediate:** 26,100 (breakout confirmation)
- **Primary Target:** 26,300-26,500 (poor high zone)
- **Extended:** 26,700+ (if momentum continues)
**Support Levels:**
- 25,800 (current support - must hold)
- 25,700 (final defense)
**Trading Plan:**
- Accumulation zone: 25,800-25,900
- Breakout trigger: Above 26,100
- Stop loss: Below 25,700
- Target: 26,300-26,500 (poor high fill)
**📈 Bottom Line:**
Poor high + weak bears + strong support = Recipe for bullish reversal. Market will likely revisit that poor high zone. Accumulate on dips, ride the bounce!
*Not financial advice. DYOR & manage risk.*
---
Part 2 Support and Resistance Buying Options for Profit
Buying options is attractive because:
limited risk (only premium)
unlimited profit potential (for calls)
high reward-to-risk ratio
lower capital requirement vs buying stocks
Example of buying a call:
Premium paid: ₹20
Strike: ₹100
Spot moves to ₹130
Intrinsic value: 130 − 100 = ₹30
Profit = ₹30 − ₹20 = ₹10 per share
If each lot has 500 shares:
Total profit = ₹5,000
The beauty:
Maximum risk = ₹20 × 500 = ₹10,000
Even if the asset crashes, your loss is capped.
Part 1 Support and Resistance How Option Trading Profits Work
There are two major types of option contracts:
Call Options: Profit when asset prices rise.
Put Options: Profit when asset prices fall.
When you buy an option, you pay a premium. This premium is the cost of entering the trade. When the market moves in your favor, the value of the option increases, enabling you to sell it for more than you paid, or exercise it at a favorable price.
The core idea:
If the market moves toward your expectation, you profit.
If the market moves against your expectation, you lose only the premium if you're a buyer.
Profit = (Option Selling Price – Option Purchase Price) – Premium
XAU/USD Outlook TodayThe latest data paints a pretty clear picture of where XAU/USD stands today, and the market tone is cautious but still bullish overall.
## 🟡 XAU/USD Outlook Today
### 1. **Price Action & Market Mood**
Gold is trading around the **$4,300** zone, with traders showing hesitation ahead of key U.S. economic data releases. This pause is driven mainly by expectations around inflation and jobs numbers, which could shift Federal Reserve rate‑cut expectations.
- Gold recently eased slightly as traders took profits and reduced exposure ahead of U.S. jobs data.
- The metal is still holding above the **50‑day moving average at $4,127**, keeping the broader uptrend intact.
### 2. **Key Levels to Watch**
- **Resistance:**
- **$4,353–$4,381** remains a strong ceiling where recent rallies have stalled.
- **Support:**
- **$4,127** (50‑day MA) is the key line that keeps the “buy‑the‑dip” bias alive.
### 3. **Macro Drivers Today**
Markets are waiting for:
- **U.S. CPI data**, expected around **3.1% headline** and **3.0% core**. This is the biggest catalyst for gold today.
- A softer CPI print could weaken the dollar and push gold higher; a hotter print could pressure gold.
### 4. **Short‑Term Forecast**
Based on current sentiment and technicals:
- **Bias:** Mildly bullish
- **Expected range:** **$4,260 – $4,350**
- **Breakout potential:** A close above **$4,353** could open the door to retesting the **$4,381** record area.
If you want, I can also give you:
- A **1‑hour intraday technical setup**
- A **swing‑trade plan**
- Or **automated chart levels** based on your trading style
We can short GER30 after LTF if supply zone medicated We can see market broke trendline and the trend changes from down to up with perfect break of structure and double bottom is also formed after medication supply zone we can sell
LIC of India – Double CorrectionDear Trader,
It appears that LIC of India is currently undergoing a double correction pattern. From 9 July 2025 (₹977) to 29 August 2025 (₹850), the price declined in a clear three-wave structure, which we can mark as Wave W.
Following this, from 29 August 2025 to 7 November 2025, the stock rebounded to ₹932, retracing approximately 61.8% of the prior decline. This retracement is typical behavior for a Wave X.
Since then, the price has resumed its downward trajectory. Based on Elliott Wave analysis, the ongoing move is likely forming Wave Y, with potential downside targets at:
- ₹835
- ₹816
- ₹808
These levels represent probable completion zones for Wave Y within the corrective structure.
Conclusion:
Traders should monitor price action closely as LIC approaches these support levels, which may provide opportunities for reversal or continuation depending on broader market conditions.
Shiba inu prediction today As of **December 18, 2025**, **Shiba Inu (SHIB)** trades at approximately **$0.0000075–$0.0000078 USD**, reflecting a **downward trend** with a roughly **4–5% decline** over the past 24 hours and broader weekly losses around **7–9%**.
### Current Market Status
- Live prices from major trackers (e.g., CoinMarketCap, CoinGecko, and recent updates) hover around **$0.0000075–$0.0000078**, with a market cap near **$4.4 billion**.
- Trading volume remains active but in a bearish broader crypto market context, with sentiment indicators showing **extreme fear**.
### Short-Term Prediction for Today
Analysts and technical indicators suggest **continued downward pressure or sideways consolidation** in the very short term (today/intraday).
- Many forecasts point to potential further dips before any rebound, with resistance levels around **$0.000008** and support near **$0.000007**.
- Short-term models (e.g., from CoinCodex and others) predict minor declines or flat movement today, potentially testing lower supports if broader market weakness persists.
- No major catalysts (like significant burns or announcements) appear imminent based on recent news, though whale movements (e.g., large transfers to exchanges) could add selling pressure.
### Key Influences
- **Bearish factors** — Declining trends in moving averages and low burn rates recently.
- **Potential upside** — Ecosystem developments like Shibarium milestones or accumulation signals could spark a bounce, but nothing definitive for today.
Cryptocurrency prices are highly volatile and influenced by overall market conditions (e.g., Bitcoin's performance). This is not financial advice—always DYOR and consider the risks. For real-time updates, check platforms like CoinMarketCap or CoinGecko. 🐕
GOLD UPCOMING MOVE ANALYSIS.GOLD is trending at trendline support and looking bullish. so targeting upside liquidity.
Best Knowledge of Candle Patterns CANDLESTICK PATTERNS
Candlestick patterns show price action for a specific time period using:
open
high
low
close
They reveal emotions on a smaller scale than chart patterns—short-term sentiment, reversals, or continuation signals.
Candles combine psychology with real-time supply-demand shifts.
NIFTY: Structure Is Clear, Entry Comes With ConfirmationNIFTY is currently trading inside a well-defined structure, where price is moving between key support and a declining trendline. This zone often creates noise, fake moves, and emotional entries.
Instead of forcing trades in the middle, the focus should be on waiting:
• Either for a clear rejection from resistance
• Or a confirmed breakout with acceptance
Entries taken without confirmation usually come from impatience, not edge.
The market will always give another opportunity — but capital and confidence must be protected first.
I prefer waiting for price to reach important levels and show intent, rather than reacting to every small move.
