Consolidating Expiry! Option sellers adore consolidation.Still, there is intraday volatility. The market teaches us to adjust our positions based on intraday volatility, What we've seen in the last few expiries *It is good to see the nifty close above 17050. But looking at the chart, the weakness is still there. I will make a decision after watching the 17150 to 17300 range, because the 17200–17250 range acts as a support many times keep an eye on it. NIFTY opened with a gap up, but still, resistance is respecting what we can see.
My weekly option selling - 17200 CE, 17150 CE, and 16850 PE, at last, 17000 PE made a good profit this week. We have one more expiry left. Let's see how December is going to end. I hope everyone is having a great year-end.
Option
Might expect a tricky weekly expiry? NIFTY50On Tuesday, we experienced high intraday movement, both high and low. It is good to see 17200–17250 acting as a support, but the 17350–17380 level is resistant twice. Movement frequently kills SL, and we frequently see a bounce back from the 17000–17150 level last week as well. Let's see if it continues again.
At the same time, there is price action indicating trend continuation. In my opinion, if any of the indices break down below the lower support level, or if there is rejection near the 17450-17500 level, this is quick action to enter into a weekly option selling position. Let's see if we can get a good premium above 17600 and below 17000 for a safe expiry.
Nifty: The 2-3-5 Rule works it's magicNifty
This is not a fresh recommendation
- In our earlier post we had warned about trouble times for Nifty based on the chart set up
- we had also highlighted the possibility of Nifty breaking Support line based on the 2-3-5 Rule ( in the 5th attempt, the chances of breaking the support line is higher)
Well, 2-3-5 Rule works its magic...
As it was the 5th attempt at the support line, we went with the rule and were aggressive on the shorts.
Note Technical Analysis is one thing and trading is another. Although I was aggressive on the shorts, in the trade we had, there was still margin for being wrong
We had 18400 Call short position at 120 which was squared off earlier around 27 and shifted our call short position to 18200 Call short around 70
Along with that we had bought 17900 Put Long at 150 (this cost was taken care of and covered with the premium we had received on overall Call Short position. We had received 163 points from the Call Short position. So even if Nifty expiry would have happened at 18200 we would have still made 13 points on the overall Nifty trade )
Partial profit booking for 17900 Put was done on Friday around 254 and today we have booked full profits at 336.
CMP for the 17900 Put is 380. I could have waited and earned more but that's fine with me. I had an initial target of 330 when I entered the trade at 150 and I am more than happy to get what I have got.
18200 Call option Short sold at 70
CMP 4.
Overall a good day to begin the week with....
Enjoy & Happy trading....!!! 🙂
Trust you have found the analysis helpful. Trade responsibly
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
Nifty 28 Oct 2021 - Analysis - Nifty went for Side ways for whole trading hours apart from last one hour.. There is no trend today in last one hour it went down.. still i feel that it is very narrow range.. So more chances of SL hit.. on both side..
- As per my yesterday Analysis it went up from 320 till highest 342.. but it reversed from there and on lower side from 18220 till 18180.. in last one hour ..
Ok Lets see tmrw Analysis --
BUY CE if nifty cross 18244 and move upward if sustain after 18250 then go for target of 18330-18340
BUY PE if nifty comes down from 18340 then first target will be around 245 and go down more another target will be 18140.
BUY CE if nifty take support from 18245 and move up then target will be around 18330-18340
BE CAREFUL tomorrow is Weekly Expiry
BHEL Chart set up and viewBHEL
CMP 53.95
Observations
- stock has done a 76.4% retracement
- 200 day EMA around 53
- stock near trendline (which may act as support)
given the set up one may consider to accumulate stock from medium to long term perspective ( at cmp and on further dips )
momentum / short term players may consider buying if closing is above 57 for target of 62 / 65
______________________________________________________________________________________
F&O strategy Suggested : Bull Put Spread strategy
One may consider
Sell 50 Put option around 1.25 and
Buy 45 Put option around 0.30
Lot size 10500
Net receivables Rs 9975/- per strategy lot (yield potential 14.5% approximately)
Loss in strategy if BHEL closes below 49.05 on 30 September
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
WIPRO - PRO+GOOD FOR A QUICK OPTION
Take trade as per the values given in Fibonacci. always trail the stop loss. do your own analysis before taking trade
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Nifty: Probable expiry range for today June 10, 2021Nifty
Likely lower end of the range 15659
Likely Upper end of the range 15768
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
#Nifty Trade Setup For Tuesday (20th April)You can see there is a huge gap between 14350 - 14600,
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Market will fill the gap but when we don't know.
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So for Tomorrow, we focus on simple Strategy.
.
Till 14460, we will buy PE on sell on rise.
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If Nifty cross 14500 we can go for 14600 CE.
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You can give your suggestions in comment box.
.
Learn More Earn More ✌️
Nifty: Chart set up & potential trade strategyNifty
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
Will Nifty see Year end Dhamaka rally...???Nifty
13749
2 trading sessions earlier, we had highlighted the possibility of Nifty re-testing at least previous highs
Although we did not take any fresh position in Nifty on weekly expiry day, we held on to our positions taken earlier.
Currently
- We observe Nifty moving in boxes
- Will we see a Year end rally now?
No it is not that since we are now just 250 odd points away that we are saying it...
Flashback … on August 04th, 2020, when Nifty was at 11000, this is what we had predicted… Nifty heading towards 14200 odd levels in next 6 months…
This was in the back drop of economy being at a standstill, and hence difficult for any one to even think of 12000. Many felt Nifty might head back lower sub 10000 levels and probably even towards 8000 levels.. It seemed ridiculous at that time, but here we are; 5 months down the line and Nifty very close to it. 😊😊
Click the link above and see how historical price pattern of 2006-2007 in Sensex price (very similar levels… very much similar magnitude of correction… and not much difference in time frame too) helped us envision this movement in Nifty. I am sure the co-relation would amaze you and help you realize the potential of Technical Analysis.
Coming back to our present day…
Chart and Data analysis suggest (for a detailed analysis report of FIIs and Retail participants kindly share your email address in comment below or in private message) there could be support at lower levels
On any dips in Nifty, one may consider selling Nifty 13600 Put option preferably around 60.
Max profit potential Rs 4500/- per lot.
More importantly, the strategy would have an in built loss protection for a fall in price up to 13540 till 31st December 2020.
We would update further on this idea, Monday morning in market hours.
Take care & safe trading…!!!
Wish you a Merry Christmas and a Happy New year…!!!
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Our other ideas this week...
- LIC HSG FIN
- ONGC
- BHEL
- Tata Motors
- Adani power
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
Nifty: Writing was on the wall...!!!Nifty
The current drop might have surprised you but have a look at this data below and see for yourself how each participants had positioned themselves on Friday and decide for yourself if you had access to this valuable information before trade could you have done better...?
This data analysis will tell you how various participants Retail, FIIs and Proprietary traders positioned themselves on Friday and answer your questions as to What happened today?
Call Option data
- Retail participants added 2.17 lakhs Call option and added 1.85 lakh Call short position
- FIIs added 34.84 K Call Long and added 25.83 K Call Short position
- Proprietary traders added 62.4 K Call Long and added 1.03 Lakh Call Short position
Put Option data
- Retail participants added 1.18 Put Long option and added 1.44 Lakh Call short position
- FIIs added 27.63 K Put long & added 12.89 K Put short
- Proprietary traders added 35.96 K Put Long & added 24.8K Put Short position
If you see Retail participants were Call Buyers and Put sellers (which means they were super bullish)
where as FIIs and & Proprietary traders were more inclined towards buying Puts and selling Call Options (meaning they were bearish on the market)
- Who do you think so trades with more knowledge?
- who do you think so has more financial muscle?💪
We had 2 powerful sources the FIIs and Proprietary traders inclined towards Shorts and the Herd mentality of Retail Participants inclined towards Buy side...
What do you prefer?
- trade against the powerful and lose
- or trade with winners and increase your chances of winning
This data can help you avoid Hope based trading and making mistakes. It's not too late. Start trading with knowledge. To get access to our detailed F&O data analysis on a daily End of Day basis Message in private
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Others who don't want to change may kindly ignore 🙏
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Nifty F&O Data analysis and trading viewNifty
13558
FIIs Net sold 8803 Contracts worth Rs 811.83 Cr
Futures Data
- Retail participants squared off 49 Long Contracts & squared off 6.48K Short contracts
- FIIs squared off 2.34K Long Contracts and added 6.54K Short Contracts
- Pro traders added 1.10K Long contracts and exited 1.35K Short contracts
Call Option
- Retail participants added 1.28 Lakh Call Long Contracts & added 1.15 lakh Call Short contracts
- FIIs added 10.5 K Call Long Contracts and added 16.45 K Short Contracts
- Pro traders added 34.46 K Call Long contracts and added 40.81 K Call Short contracts
Put Option
- Retail participants added 1.28 lakh Put Long Contracts & added 1.30 lakh Short contracts
- FIIs added 8.53 K Put Long Contracts and squared off 118 Put Short Contracts
- Pro traders added 28.14 K Put Long contracts and added 35.74 K Put Short contracts
Nifty closed the day in green yesterday, however volumes were down 31.73% compared to the day before and Open Interest reduced slightly
Bank Nifty volumes were 28.85% lower compared to the day before.
FIIs are slowly exiting Long positions and retail participants are buy calls and puts in expectations of big movements. For any underlying to move, we need strong volumes, which is missing. These are signs of distribution happening.
In our previous post also we had highlighted a range bound movement scenario for markets. And that is precisely what we are seeing. Nifty yo-yoing between 13400-13600. If blue line is taken out, we might see another move towards 13400 - 13380 level.
If you are trading in Futures and Options, trading without proper analysis, you are more risk.
If you want to get detailed report on a daily basis, message in private
Best wishes
Do Hit the Like button and Follow....
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
- We do our best to ensure that the data we release is complete, accurate and useful. However, because we do not create the data, and because the processing required to make the data useful is complex, we cannot be liable for omissions or inaccuracies
- The user expressly acknowledges that the Data may contain some nonconformities, defects, or errors.
- Neither Indiamarketoutlook nor the author shall be liable for any claim for any loss, or other damage arising from access to or use of data or information
NIFTY TRADE SETUP FOR MONDAYNIFTY extended their journey over sixth consecutive week and scaled to a fresh all-time high of 13579.
Going ahead, I believe 13600 would be the key level to watch, as only a decisive close above 13600 would lead to extension of ongoing rally towards 13900
mark as it is the 161.8% extension of the consolidation range (13200-12800), projected from breakout area of 13200, placed at 13847.
Failure to sustain above 13600 would lead to consolidation in the 13600-13200 range amid stock specific action






















