Reliance: the heavyweight counter is trading in a tight range
with support can be seen at 2250 areas while hurdles at 280-2410 zones
the counter need to surpass this range for any effective trade
however good for option strategies like IRON FLY, IRON CONDOR, STRADDLE SHORT with a hedge, and calender strategy as well
here we will create an IRON CONDOR
IT is an options strategy consisting of two puts (one long and one short) and two calls (one long and one short), and four strike prices, all with the same expiration date. The iron condor earns the maximum profit when the underlying asset closes between the middle strike prices at expiration.
ideally nifty will stay above...
NIFTY | Weekly expiry discussion | Short straddle / Iron Fly
Quick fall and sharp recovery immediately, expecting some consolidation in this zone like it happened previously.
Can create a dynamic range bound statergy for tomorrow's expiry - limited risk. If market moves violantly we can do adjustment trade by going market direction and come out with no loss or...
NIFTY | RSI mild negative divergence | Doesn't looks bullish not a great time to short too. Expecting some range bound this week.
Lets try Short straddle with hedge it becomes Iron Fly - 17/12/2020 Expiry - Credit Statergy - Defined and good risk reward
CMP : 13513
Sell 13500 PE @ 101
Sell 13500 CE @ 108
Buy 13300 PE @ 37
Buy 13700 CE @ 36