NIFTY TRADE SETUP FOR TUESDAYsome people ask me how do we know that it's going to break the support or resisitance .
frankly told you no one in this world knows. we all do work on probability.
technicals give you a view of the mass psychology.
best way is whenever the market approach your resistance or support sell the nearest call and put .and hedge the position to buy call or put .
in this way your profit will be less but you will never lose the money.
now tomorrow there is a chance market will be trading in a range .
options call and put writing is on 11400 - 11200 .
try to make different set up for the different market.
you should have minimum two setups.
1 for a trending market
2. for range-bound market
you can discuss with me any time.
please Like and share.
Thanks
Optionstrading
NIFTY TRADE SETUP FOR TUESDAYNIFTY TRADE SETUP
Nifty has given us very easy money today. this kind of setup we get once in month .
Tommrow if market opens above 11260 and sustain we can go long with for target 11300 , 11340 , 11380.
if Market opens gap down below 11777 ... we will be on shorter side.
if market open flat then we can see a range bound market.
if market is range bound then i will sell option .mark swing high and low .on high sell call and on low sell put.
As i told earlier Market has 3 possibility only
1. going up.
2. going down
3.Range bound
Be ready for all three possibility .
Infy ShortEducational Purpose only!
Hello Friends,
On daily time frame yesterday nifty opened big gap up and formed inverted hammer. To digest that big momentum it has to go sideways so this is good oppourtunity for option traders, simply sell a infy 960 CE and wait for some days you will get theta value.
Nifty trading range for weekly expiry 18th JunMarkets opened with caution today, but gained ground through the day. in the second half though the banking stocks saw pressure and led to selling. Indices closed near the lower end of the trading range. Indicating caution.
Option data suggests a trading range of 9800 to 1000 for tomorrow. Bank Nifty seems to have a trading range of 19500 to 20500.
As usual lets see the opening of the market and global cues coming in for tomorrow morning.
For more details read the blog -
equitycompound2.blogspot.com
Expiry Strategy Nov: Sell 115 Put @ 0.75. Lot Size: 5334Trend continued to be in bearish territory on back of EMA (20 EMA below 50 EMA). Recent correction from the resistance of 140 level where roof of the downward trend line hovers.
On contrary, as MACD above zero expect the price to find support around 120 levels. In the recent past, the price comfortably found support around the same level twice.
Expect a bounce back in the coming days so Nov expiry would above 120 levels.
As I always believe in option selling rather buying based upon the trend, prefers Sell 115 Put around 0.75 level.
NIFTY Topped out or Momentum Break?NIFTY: Daily price action has created a resistance on the chart. Now 12015 (spot) levels will be acting as resistance. The dominant trend is up, the prices are trending above the kumo indicating strength. Momentum has slowed a bit, however it is expected to pick up in the coming sessions if 11820 holds on closing basis. Below 11820 Nifty may drift down 11560 levels. Our “ProRSI moblile trading application has been launched on Play Store and IOS, get high probability trading ideas in equities, futures and options. Download Now.
Expiry strategy: Sell 230 Put >1. Stock tumbled from 310 level to 235 levels in the last 5 weeks.
Recently, it witnessed sharp bounce back from low around 235 by following a reversal double bottom pattern with volume. MACD also confirms the reversal.
Any fall could invite fresh buying in this stock. Expect the stock to expire above 230 level in Oct series. Lot size:2400
Expiry Strategy: Sell 2300 Put Aug at 16. Lot size: 250Price crossover above 200-EMA and 50-EMA signals that the trend in positive note. Expect the price to move upward in the coming days. Recent trough around 2500 level would lend necessary support in the coming days.
Expect the stock would expire above the support band of 2300 - 2400 levels for Aug series. Recommending option writers to sell 2300 Put Aug.
Expiry strategy: Sell 220 call @ 4.6 & Buy 225 call @ 3.4.Trend continue to be negative as 50day EMA below 200day EMA. As well, MACD confirms the downtrend. Recent reversal from 200day EMA signals expiry would below 220.
By considering major event (Election Result) in the upcoming weeks, prefers to execute spread strategy rather using our regular naked strategy.
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Expiry Strategy: Sell Biocon 720 Call @ CMP 3. As price continue to stay below short term downward trend line and close below 50-day EMA with bearish engulfing would keep the trend under bearish territory. Expect Nov series would expiry below 720 and would fetch return of more than 20%p.a post expenses includes brokerage and tax.
NIFTY BANK TomorrowHey Everyone!
A small market update about what has been going on lately and what may happen later.
Ever since NIFTY BANK broke its two month long trend line upwards on 15th of June(Friday), the index has been seeing red till 20th of June(Wednesday).
Ever since that trend reversal, a bullish parallel channel has formed. It is shown with the blue dotted lines in the chart.
A channel can be used as an entry pattern for the continuation of an established trend, as part of a trend following strategy.
Things to keep in mind for tomorrow:
1) If market opens close to the base of the green arrow, then we can expect a continuation of the upward channel.
2) If market opens close to the base of the red arrow then we may expect a strong correction downwards(1-2 days)
This is my idea about the current market movement.
Happy Options Trading ! :)