Get started

Search in ideas for "OPTIONS"

PostMortem on Nifty50 Today & Analysis of 26 JUN 2023N50 also had very little movement today to fire up the options premium. We even have a 10000 PE for the current week expiry. i.e a strike which is 47% below the spot price. Even a nuclear war will not take us there by Thursday. N50 also maintained the ground today, not falling below the 18650 level ensuring the swing low of 23rd is not broken. When we ended the last session - the sentiment was looking weak. I almost thought we will break the support level today - such was the CE shorting intensity on last Friday. Since we had no continuation of carried forward momentum - I am assuming that most of the positional traders would have booked profits & exited the short CE trades. 1hr TF N50 has formed a rounded double top M like pattern near the ATH zone. The fall from 22nd got some follow through on 23rd but today's move was not supporting. For the M pattern to work perfectly we would require a break down from the support level of 18597.
NSE:NIFTY
by viswaram
PostMortem on BankNifty Today & Analysis of 26 JUN 2023BN opened gap up, but right at the opening itself we all anticipated that we are not going to have an up day today. The options flow gave me a bearish bias and was looking for opportunities to enter. The first swing till 10.50 where we had a drop of 222pts & then a retracement of 113pts looked healthy and almost filling all the checklist for the 2nd leg. Instead of making a lower low - the 2nd leg made an upmove to take out the retracement high. By this time the options premium was dead - indicating no more uncertainty ahead. SBIN & ICICIBANK gave ample support to BN today & prevented it from falling. Again the conviction of the bulls were quite strong. Between 15.00 to 15.05 BN made a quick surge of 105pts and then quickly lost it between 15.10 to 15.15 - might have taken out the stop losses of few option traders today. The way in which PE options reacted made me think the major participants would want BN to go up. 1hr TF The double bottom W pattern that formed with the bottom at 43404 is still intact. The upmove from 20th Jun to 22nd Jun was pretty weak that did not allow it to go past the resistance zone of 44068.
NSE:BANKNIFTY
by viswaram
BN Vertical Call Credit SpreadFollowing trade is for educational purposes only. An Iron Condor is an option strategy, where the expected outcome for next week is range-bound. A CE option mentioned below is a European Call Option, while a PE option is a European Put. A hedger always buys these options and a speculator mostly sells one. But when the speculator only sells these options, the risk involved is unlimited and the margin requirement is also high. This is called naked option selling. When both CE and PE are sold, it is called a short straddle. In combination with this, if we buy much farther CE and PE, the short straddle becomes an Iron condor. Here, the idea is to capture the option premium in a range-bound market with reduced risk and margin compared to short straddle. The spread between buy and call leg is based on optimum use of margin. Since the option premium is credited to us in advance, it is also a credit spread. Since this week the view is bearish, we are taking only the CE leg of Iron Condor. As the week progresses, additional trade may be added. Please leave a comment if you need further clarification on the following trade --------------------------------------------------------------------------------------------------------- Sell 36300E, Buy 36900CE The history of trades of this trade model is in the following link: docs.google.com My concept of trading is not to be an overnight millionaire, but a disciplined method to grow the wealth that you own. Please leave a like if you like the trade ideas :)
NSE:BANKNIFTY
by muhd_nihal
7
RELIANCE TARGET 2500 PUT#We Make Only Profit. #HDFCBANK #BANKNIFTY #NIFTY50 #NIFTY #SENSEX #TATA Technical analysis and options trading can go hand in hand. Many of the best practices for options trading come directly from technical analysis concepts. Technical analysis focuses on price. Fundamental analysis does not solely focus on price. RBI Forex Reserve Grow is this Good or Bad ? 1st 140 Billion loss hua hai or ab 20 Billion Grow hua hai to hai to abi bhi loss mai Gover..t abi losss mai hai laken wo Backup bhi ready kr rhe hai take 2023 kese wjh se krab bhi jaye to economy pe zada Farak na pade..
NSE:RELIANCE
by UnknownUnicorn59699627
1
PostMortem on BankNifty Today & Analysis of 13 JUN 2023 FinNiftyAnother day went by where the last 1 hr changed the sentiment of the day. Banknifty rallied 188pts ~ 0.43% from the LOD to the HOD all in 65 mts 14.20 to 15.25. Till that point the view was bearish and open for shorting opportunities. Just check the encircled area, banknifty was struggling to go past the resistance of 44068. The set up seemed almost perfect for a short-sell opportunity, it even had follow through when the 13.50 and 13.55 shaved off 114pts ~ 0.26%. Even the BN options data was showing weakness ahead. But Nifty50 had other plans, you would have noticed how strong it was even in the morning session. And it was not due to NiftyIT's support alone, RELIANCE, ASIANPAINT, ITC, HUL were all amassing gains. The option data for nifty was showing bullishness - the mistake I did was to anticipate nifty to fall once banknifty started its descent.  In fact the real opposite happened, Nifty50 pulled banknifty up, helped it cross the resistance with ease. My decision to go short was taken in a hurry to capitalize on the Finnifty expiry - but what it did was to take out the stop loss. Technically today banknifty and finnifty crossed the resistance whereas nifty50 has few more points to go i.e. till 18762. To an extent the last hour rally would have been due to the positive expectancy from US CPI data. Moreover SPX is at a 52wk high (not at all time high though). --- 15mts chart of BN still shows its trading in a range. Was expecting the lower end to break down today, but that did not happen. --- 1hr TF is also continuing in the same range. The upper band is at ATH levels - crossing that would mean a breakout trade and for that to happen banknifty would have to build lot of momentum. --- Finnifty Expiry Special Finnifty had a chart similar to banknifty. 19421 was the crucial SR zone for today, earlier in the day the trading was happening above this level. Between 13.50 to 13.55 there was a sudden fall back to the SR level. Again I assumed it will break this level and fall below the recent swing low. What actually happened was a rocket-style surge 90pts ~ 0.47% to ensure finnifty closed at the high of the day. From an expiry perspective, the options premiums were decent enough and had adequate juice till 14.00. 19450 CE which closed in the money would have been a jackpot strike if the buyer got in at Rs6 to Rs7 levels as it went up 3x.
NSE:BANKNIFTY
by viswaram
Tuesday Fib Levels_13_12_22The Fib Levels for Nifty and Banknifty is listed for 13-12-2022. You can add this levels to your trade setup for better results. This should not be the only indicator but an additional tool to increase your winning possibilities. How Does This Work> The three levels on both sides are usually easily achievable. The Targets above are bit difficult to achieve in a single trading session. I use this fact to write intraday positions and to buy options. Disclaimer: This is shared in the interest of educational purpose and for knowledge enhancement. Kindly refer it in the same light. I am not responsible for any profits or loss incurred based on this information.
NSE:BANKNIFTY
by SathishChandrasekaran
1
Nifty Spot Chart Analysis for 15 May for Options. 📈 Nifty Weekly Spot Chart Intraday Technical Analysis: 15 May, 2024 📊 Range Trigger Point: 22218 📉 Day Range: 189 Points 💰 Buy Above: 22198 💼 Average At: 22176 🎯 Buy Target 1: 22335 🎯 Buy Target 2: 22407 🛑 Buyer Stoploss: 22135 💰 Sell Below: 22153 💼 Sell Target 1: 22101 💼 Sell Target 2: 22029 🛑 Seller Stoploss: 22216 Don't forget to reciprocate your love by boosting, following and responding, your actions fuel my efforts to do even better for you! #nifty50 #Nifty #options #optionbuying #optiontrading #OptionsTrading #trade #trading
NSE:NIFTY
by NumroTrader
Nifty Spot Chart Weekly Analysis 29 Apr to 3 May for Options.📊 Nifty Spot Technical Chart Analysis 📅 Weekly Levels for 29 Apr to 4 May, 2024 🎯 Range Trigger Point: 22198 🎯 Weekly Range: 428 📉 Buy Above: 22463 📉 Average At: 22412 🎯 Buy Target 1: 22463 🎯 Buy Target 2: 22626 🛑 Buyer Stoploss: 22320 📉 Sale Below: 22362 🎯 Sale Target 1: 21934 🎯 Sale Target 2: 21770 🛑 Seller Stoploss: 22504 Don't forget to reciprocate your love by boosting, following and responding, your actions fuel my efforts to do even better for you! #nifty50 #Nifty #options #optionbuying #optiontrading #OptionsTrading #trade #trading
NSE:NIFTY
by NumroTrader
Nifty Spot Weekly Analysis for 29 Jan to 02 Feb for Options📊 NIFTY Spot Chart Analysis: Weekly Outlook 📊 Weekly Range: 613.05 Points The NIFTY Spot Chart presents compelling opportunities for traders in the upcoming week. Let's delve into the key levels: Buy Setup: Buy at: 21516.06 Targets: 21731.46 🚀, 21965.65 🎯 Average Position: 21443.72 Buyer Stoploss: 21311.71 Sell Setup: Sell at: 21371.39 Targets: 20973.74 🎯, 20739.55 🔽 Seller Stoploss: 21575.74 Technical Insights: The weekly range of 613.05 suggests substantial price movement opportunities. A break above the initial resistance at 21516.06 could trigger a bullish trend. The support level around 21311.71 is crucial for maintaining a positive bias. Conclusion: The NIFTY Spot Chart offers a balanced setup for both bullish and bearish scenarios. Traders are advised to monitor the key levels closely, aligning their strategies with the market's evolving dynamics. As always, exercise prudent risk management to navigate potential market fluctuations. Disclaimer: This analysis is for educational purposes and not financial advice. Trading involves risk, and it's essential to conduct thorough research or consult with financial experts before making any investment decisions. #NiftyOptions #OptionsTrading #DerivativesMarket #OptionsStrategies #WeeklyOptions
NSE:NIFTY
by NumroTrader
PostMortem on BankNifty Today & Analysis of 21 JUN 2023Yesterday I said, " I will be a believer if we continue the green spell tomorrow also." - guess what Finnifty hit all time high today at 19660.1 at 13.55. This is partly due to the news flow in HDFC & HDFCBK (both are having good weightage in finnifty). This is the main reason it outperformed with gains of 0.68% whereas Nifty & Banknifty had gains of 0.21% each. Today proved to be a perfect day to deploy straddle on banknifty - the momentum to swing was low and open/close were quite nearby. I assume most of the traders would not have deployed it as we had some aggressive move last hour yesterday. Nifty50 on the other hand provided adequate volatility to drive up the options prices much better than BN. The period from 09.55 to 11.15 looked dangerous & I was looking for bearish trades. Again the strength of bulls outpaced the bears - we had a gradual recovery and closed near the high point of day. The biggest difference in trade today BN vs N50 was the volatility. BN was not at all interested in going up or down, whereas N50 had eyes to take out the ATH. Unfortunately we fell short today also. INFY & KOTAKBANK pulled the plug after 15.05 otherwise we should have seen history in the making! I personally think the HDFC-HDFCBK moves 1.63% & 1.75% were unusual and this should have broke the existing rhythm of BN's movement. I would like to see tomorrow's price action i.e. expiry trades too and then become a proper believer. One of the reason I am saying that is even with gains of 1.75%, hdfcbk could only move BN up 0.21%, there were many trades taken on the other banks to counter-balance the upmove in HDFCBK. I would like to see how it pans out tomorrow, esp after 14.00. --- 15mts is still sloping downwards indicating weakness. Its not an outright bearish view but somehow BN is not that excited with N50 going for new highs.  --- 1hr shows a converging pattern unless we breakdown from the 43402 levels & cross 43253 quickly. Currently what BN is lacking is momentum, only a downward move will give it strength to rally & break through!
NSE:BANKNIFTY
by viswaram
PostMortem on BankNifty Today & Analysis of 15 JUN 2023 ExpiryThe beast in banknifty got unleashed today, after a long gap banknifty options really started surging today! You wont believe the OTM prices went above the traded range of Wednesday, that too today being an expiry day! --- BankNifty Weekly Analysis During the current expiry week 9th to 15th June, banknifty shed 556 pts ~ 1.27%. You may not believe that 544pts i.e 97% of that came just in today's trade. --- Today's Analysis We opened gapup right at the resistance level and then started falling. The first 5mts itself shaved off 200+ points. From there we had a steady falling day with no pull back. The selling really aggravated at 13.50 when all of a sudden lot of traders unwound short positions in PE. BN was near 43700 then, the volumes in PE did suggest that few traders were running for cover fearing their position may go deep ITM. This really fueled the next move. We fell another 300pts in 90mts.  Nifty50 was in green till then, see the blue highlighted area - the selling intensified in N50 too. Nifty50 at 10.00 was roaring past the resistance level of 18762 and was looking unstoppable. For the first time since Dec 2022, N50 tried to shoot for ATHs. Banknifty had other plans, may be attributed to the FOMC meeting yesterday - which we will discuss shortly. --- 15mts has now confirmed a break from the trading range, the last time it broke on the downside was on 24 May, which it recovered by 26th. The pick-up in momentum after the range break also signifies unfinished business ahead. --- 1hr TF also shows the range breakout, but the chart is not bearish yet. There are supports at 43253 & 43012 ahead. If banknifty is not stopping there - then it will be an interesting case for the July series. Remember we will have expiries on Fridays from 7th of July. The split of N50 and BN to separate days will definitely improve speculation. --- The curious case of FOMC rate pause Yesterday US FED decided to keep the interest rates at 5.25%. Our RBI has kept the interest rate at 6.50%. Lets just analyze what this interest means for a foreign institutional investor. Assumption: FII is investing in India's debt instruments & not equity Investor has earmarked 100000 USD for investments. In US over a 1 year period his investment will grow to 105250 USD. Whereas if he invests in India it will grow to 106500 USD. Now investment in India has to be done in INR, so there is a currency conversion risk. Lets just calculate how much was the USDINR appreciation for the financial year it was ~ 8.23% So now Mr. Investor has 97735 USD left with him i.e. a opportunity cost of -7.51% if he chose India over his home country. The best way RBI can tackle this issue is either get the USDINR to depreciate or hike the repo rate to have a higher divergence than FED rate. to view all 6 charts visit viswaram. com
NSE:BANKNIFTY
by viswaram
PostMortem on BankNifty Today & Analysis of 09 JUN 2023Banknifty was fighting hard to stay in green, Nifty50 on the other hand was vulnerable to fall. Another day went by wherein Nifty was proving to be more volatile than banknifty.  Percentage wise both banknifty and nifty fell around 0.5% between 12.30 to 14.30 but the perceived fall for nifty50 was higher as the prevailing price action gave it more momentum. Banknifty on the other hand showed a flattish pattern and ended the day just 0.01% down vs nifty 0.38% down. The option premiums were dragging for both banknifty as well as nifty earlier in the day. This was mainly because of no directional trend getting established. If you observe closely, banknifty went below yesterday's close only for short intervals. I am not quite clear why and how banknifty managed to hold on today when NiftyIT, Reliance, ITC, HINDUNILVR were dragging. I thought the fall in Nifty was purely technical, but banknifty not participating - keeps my doubts unanswered. --- 15mts TF showing no emotions as of now, the chart looking flattish with no particular bias. Banknifty unable to take out the 44068 resistance today might be something the bears could be cheering about. --- 1hr TF is still upward looking and no downside threats so far. The next support is 725+ points away and any inclination to close that gap will send the options premium spiking. Even after a 70+ point fall in Nifty50 today, the India VIX was still not rising. And at 11.12% its trading near the lowest levels. Option sellers might be facing a tough time to find high probability trades in a falling VIX environment. Even option buyers will not be rewarded unless their direction is accurate & there is a quick movement. And its expected - when markets are near all time highs, the volatility should be near all time lows.
NSE:BANKNIFTY
by viswaram
1
PostMortem on BankNifty Today & Analysis of 11 MAY 2023 expiryWeekly Expiry Analysis From the 4th of May till 11th, NSE:BANKNIFTY has fallen 0.3% ~ 131pts. Headline does not really indicate what went behind. We fell 1028pts in 1 single day i.e. 5th and then scaled back 870pts in the remaining 4 days. How can I not credit the bulls? You might be bored with me praising the bulls everytime - sadly that is the reality. The bears are really unable to move the needle, this week I seriously thought we will take out the 42576 session - but that did not happen! --- Today's Analysis Would you believe the gap-up open of 43535 today? We hit the same level as of 04 May on which NSE:BANKNIFTY had made an interim top. Needless to say the 5th May selling on HDFC-HDFCBK news took out some gains, but we have bounced back quite strongly. That gapup stands as an anomaly, otherwise the price action is perfect, showing a higher-high formation. And then we had a flattish session afterwards.  From an expiry standpoint we did not have big movements (unusual), but we had 2 or 3 intense volatility surges even with a flattish movement (again unusual). The IV surge helped the options premium spike 2 or 3 times giving excellent opportunity to traders today. Example 42000 PE which was OTM by 1500pts ~ 3.4% away from strike had 2 swings. 1st one from 09.30 to 10.30 where its premium surged 99% and then 13.10 to 13.48 where it surged 67%. Did the market make any abrupt move during that time - absolutely not.  --- 15mts are still having a minor bullish tone, but it will quickly fade out if new highs are not made. Are the bulls tired after a long run - seems like that. Nearest support is still 43253. --- 1hr is more bullish than 15mts TF thats because the trailing price action shows strong upwards momentum. It also has a vulnerability to form a double top at 43750 levels - but for that we need some bad news. The only bad news we can expect in May is the Karnataka elections results!
NSE:BANKNIFTY
by viswaram
PostMortem on BankNifty Today & Analysis of 20 APR 2023 ExpiryNSE:BANKNIFTY has gained 0.29% ~ 123pts from the last Thursday to today. Except for the 1st hourly strong candle on 17th, the rest of the trading was range bound with a slight positive bias. The range banknifty traded in (max swings) indicated below. It just had a maximum swing of 1.28% and this explains why the options premium had no air in it. --- NSE:NIFTY on the other hand fell 1.14% ~ 203pts this week. The 1st candle of 17th basically set the tone for this week. The rest of the trades were contained within the shadow of this 1hr candle.  --- 20th April Analysis BankNifty is struggling to break-out from this level. Might be its taking a rest before the next move - but as it stands its out-performing Nifty50 quite strongly. Even though bank nifty was unable to take out the recent swing high, the downside protection is seen as quite strong. No matter what happens - bank nifty is not falling to the 41624 levels. Nifty50 on the other hand is going through a weak sentiment, triggered by the IT QoQ results. --- Looking at the option's premium data I strongly felt we have a down-trend post 12.30 - but the lows were strongly protected on both the indices. I must say my debit spread again went to zero ! --- 15mts chart is looking strong as ever, today's price action has confirmed that bulls are still in control. Yesterday I was of the impression that the support of 41624 could get taken out by 20th or 21st - thats because of a weak global sentiment. Seems like bank nifty has no intention to give up the gains! --- 1hr chart is also looking quite strong, the 14.15 candle of today (+156 pts) ensured that the swing-low of 42034 is not getting taken out. Also this candle gave so much of confidence to the bears - I could say with confidence that this move ensured even the Nifty50 is closing in green today! To view all the 7 charts visit viswaram. com
NSE:BANKNIFTY
by viswaram
PostMortem on BankNifty Today & Analysis of 18 APR 2023One thing I noticed this week is the variance in volatility of Nifty50 vs BankNifty. On 99 out of 100 trading days - Banknifty used to have a higher volatility than Nifty & you know what higher volatility brings to the options trading. Yes - option premium anomaly. Probably this variance was there earlier too, since I trade on BankNifty all the time - I rarely check the Nifty50 and FinNifty option premiums. But from the begining of April series - the option premiums were unusually low. I suspected it could be due to the high number of holidays this month. The reality was something different, NSE:BANKNIFTY was trading in a stable manner and the choppiness was visible in Nifty - this uncertainty made Nifty50 more susceptible to unusual option premiums. Banknifty stayed in a range today, the price moves from open to 13.05 was perfectly inline with the trend that was set from the last 3 sessions. Let me zoom out and highlight it. See the blue line, its almost a perfect straight line, the price action after 13.10 caused a blip. A fall of 387pts from the HOD to the LOD.  And why I said bank nifty was showing more signs of stability, this fall got arrested and the final closing was flat with a greenish tint. Whereas NSE:NIFTY showed weakness today also, not because of the IT sector (In fact IT was up 0.59%).  --- 15mts shows no major weakness so far. The chart is still bullish. As long as 41624 is still intact - the chart will not reverse direction. --- 1hr also is looking decently good, Just the 13.15 candle stands out from the trade today. If NSE:NIFTY shows further weakness ahead - I am not quite sure how long NSE:BANKNIFTY can stay in green. --- Just like we started discussing Finnifty Expiry from the last week - lets do it every Tuesdays henceforth. I took the expiry trades today & once the HDFC- NSE:HDFCBANK merger completes - it will be really exciting to trade NSE:CNXFINANCE because the top 4 weightage providing stocks will be the same. So we can take part in 2 expiry days in the same week. This is a blessing for anyone who is actively following the financial sector & banks in India. NSE:CNXFINANCE stayed in the range from the open to 13.25 today. The breakdown from the range came at 13.30, but anyone who looked at the red candles would have taken the trade in the short side. This fall also did not last that long, the LOD was at 13.45 and we closed more or less near the lows. The anomaly came in when the banks were doing good, but the HDFC & BAJFINANCE, BAJFINSV were pulling the index down. Thats why we had a flat day for NSE:BANKNIFTY vs red day for Finnifty. FinNifty support is at 18722 which is where it took support today. Yesterday also the first hourly candle took support at this same level. If this breaks the next support comes at 18458.
NSE:BANKNIFTY
by viswaram
PostMortem on BankNifty Today & Analysis of 13 APR 2023 ExpiryWe will start with the weekly analysis first, that is what happened in the series 7th to 13th April. The revised format is to provide an executive summary per week. This will benefit you for further research. Since 7th April was holiday, I have taken the closing price of 6th April as starting point. We had a 2.8% ~ 1148pts rally in this week. Let me zoom out and provide a perspective of what this means. If you notice we had a breakout from the 41311 levels which was the swing high of 6th April. Also notice how we broke the channel upper band. The beauty of break-outs are that the final leap will be intense - notice how we moved 367pts just in the closing hour today. The real momentum picked up once we crossed the 41624 level which was the swing high from 6th March 2023. Note the M like pattern formed then. And what followed from the was a fall to the 38690 level. From there bank nifty came back strongly & finally took out this resistance today. One particular strike ie 42000 CE stands out today, let me pull its chart here We had a rally of 3335% ie up 129pts from Rs4 today. The real power of options explained in just 1 strike! --- Coming back to the daily analysis now. Bank nifty opened at 41680 and fell for the first 5mts. From there it maintained a flattish pattern till 12.35 near the 41624 support/resistance zone. It was quite clear that if we break out from this level we will have huge momentum. However I was still looking at the bearish side. My analysis made me think bearish & plan that way. Once we started breaking out at 12.45 - there was no stopping. The momentum favored the breakout. Even though I was inclined to take a bullish position, I did not. I simply did not have enough confidence and this is where the market wronged me. As I stated earlier, 42000 CE was in my radar at 4.30 level - the magic by which it closed at 132 level still shocks me - an opportunity lost. For the option sellers who would have sold the 42500 CE and upwards never felt threatened as those strikes did not surge like the 42000 one. --- Now the 1hr chart is also screaming bullish, at least it is out of bear's hold for now. 41600 & 41800 both are safely breached. As most stock markets are skewed in favor of the bulls i.e everyone wants the stock market to go up. So when we see out-performance more people will join in and add funds - the classic FOMO effect. Since tomorrow is a holiday, we would need to wait for Monday to see further action. If we do not get any negative news from the global markets - bank nifty will be rocket-powered next week too.
NSE:BANKNIFTY
by viswaram