SENSEX trade ideas
SENSEX FOR 13 FEB#Execution only after break and close above or below from resistance or support 15-minute candle.
#Stop Loss above or below from resistance or support 15-minute candle.
(S/R Levels Will be Flipped in The Situation of Gap up OR Gap down Open, Support Will Turn in Resistance and Resistance Will Turn in Support)
(This Analysis and idea is based only on support and resistance mechanism, Buy after resistance break and close above sell after support break and close below, Closing below resistance after trade will be stop loss likewise closing above support will be a stop loss after trade)
NOTE- Only for Education Purpose. This is not any kind of Trading advice I am giving by this analysis.
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SENSEX FOR 12 FEB #Execution only after break and close above or below from resistance or support 15-minute candle.
#Stop Loss above or below from resistance or support 15-minute candle.
(S/R Levels Will be Flipped in The Situation of Gap up OR Gap down Open, Support Will Turn in Resistance and Resistance Will Turn in Support)
(This Analysis and idea is based only on support and resistance mechanism, Buy after resistance break and close above sell after support break and close below, Closing below resistance after trade will be stop loss likewise closing above support will be a stop loss after trade)
NOTE- Only for Education Purpose. This is not any kind of Trading advice I am giving by this analysis.
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sensex friday 9 FEB market closed around 71568 on Thrusday.
If the Sensex open above 71700 then we can see the Sensex touching 72000 mark but if the it open below 71200 then we can see the backdown till 70900 or more .
SENSEX WEEKLY EXPIRY GANN LEVEL CHART.. 09 FEB 2024Sensex has hit resistance 73400 and we are today at support of 71350. This is a range of 2000 points. 72000 is a physcological on Sensex. We have broken this level. We have cluster support at 70300 and 69850. For tomorrow important level is 71600 and 70950. Divide this range by 4 and use the intermediate levels for trading.
Happy Trading !!!
Sensex possible price action and range for 9/2/2024 expirySensex possible price action and range for 9/2/2024 expiry.
SENSEX DAILY CHART WITH GANN LEVELS FOR WEEKLY EXPIRYSensex ha made a recent on 24 Jan 24 love the symmetry of Time at 70001.60 again love the symmetry of Price.ATH at 73402.16 on 19 Jan 24. Low to watch is 21 Dec 23 at 69920.39 as support. Momentum in trend will change above the level of 71939.61. Higher support level at 70520.09. The zone between both clusters is sideways with breakout on either side of it. For tomorrow intraday level for trend decision is 71629.
Happy Trading !!!
Rahul's Road to Recovery: Battling Overtrading"Rahul's Redemption: Overcoming the Pitfalls of Overtrading"
Once upon a time, in the bustling city of Mumbai, there lived a man named Rahul. Passionate about trading, Rahul was determined to make a fortune in the stock market. However, as the saying goes, "Too much of a good thing can be bad," Rahul found himself entangled in the web of overtrading.
Rahul's journey began with zeal and promise, but his desire for quick gains led him down a perilous path. He succumbed to the allure of constant market action, making trades impulsively and without a solid strategy. The euphoria of potential profits clouded his judgment, and soon, the losses began to accumulate.
In the depths of despair, Rahul realized he needed help. He turned to a mentor, an experienced trader named Aman, who empathized with his predicament. Aman had walked a similar path in his early days and understood the challenges Rahul faced.
The Turning Point:
Aman became Rahul's guiding light. He emphasized the importance of discipline and the dangers of overtrading. Together, they analyzed Rahul's past mistakes, identifying the triggers that led to impulsive decisions.
Problem and Solution for Overtrading:
- Problem: Overtrading occurs when a trader executes excessive transactions, often driven by emotions or the need to be constantly active in the market.
- Solution:
1. Establish a Trading Plan: Define clear entry and exit points, risk tolerance, and profit targets before entering a trade.
2. Set Realistic Goals: Avoid the temptation of unrealistic profit expectations. Focus on consistent, sustainable growth.
3. Use Stop-Loss Orders: Implementing stop-loss orders helps limit potential losses and prevents emotional decision-making.
4. Regularly Review Trades: Analyze past trades to identify patterns and learn from mistakes. Keep a trading journal for self-reflection.
With Aman's guidance, Rahul began to put these solutions into practice. He committed to sticking to his trading plan, embracing patience, and avoiding the impulsive urge to trade excessively.
The Moral of the Story:
Rahul's journey teaches us that setbacks are a part of the trading game, but learning from mistakes and seeking guidance can lead to redemption. The moral of the story is that discipline, a well-defined strategy, and mentorship are invaluable tools for overcoming the pitfalls of overtrading.
As days turned into weeks and weeks into months, Rahul's efforts bore fruit. His trading approach became more disciplined, and he started to see consistent profits. The story of Rahul's redemption serves as an inspiration for every trader navigating the turbulent waters of the stock market.
Remember, in the world of trading, it's not about the frequency of trades; it's about making the right trades at the right time.
SENSEX DAILY GANN LEVELS CHART FOR WEEKLY EXPIRY OF 19/01/2024For weekly expiry most important trend deciding level is 71397.06. Above this resistance is 71969.07 and below this support is 70825.05. Any expansion above the resistance and below the support may give trending move in that direction.
Use the levels given prudently. Use small stop losses for trades. Preserve your capital and then aim for profits.
Happy Trading !!!
N.B. Not a trading advice. With usual disclaimers as applicable within the reach of this beautiful platform.
Magic of Coffee Can Investing : Brewing Wealth☕Ever heard the legendary tale of Robert Kirby and the magical coffee can? ☕
📜 Let's embark on a financial journey, merging history, numbers, and wisdom to unlock the secrets of Coffee Can Investing for the Indian stock market!
📜 Historical Tale:
In the 1980s, financial wizard Robert Kirby shared a captivating story. He spoke of a wealthy widow who stashed her stock picks in a literal coffee can, leaving them untouched for years. When the can was opened, it revealed a fortune! This timeless tale laid the foundation for Coffee Can Investing.
📊 Screener - Criteria to Filter Stocks:
1. Earnings Growth Rate: Aim for companies with consistent earnings growth. A 10% or higher annual growth rate could be a strong indicator.
2. Return on Equity (ROE): Seek companies with a solid ROE, indicating efficient use of shareholder equity. A minimum of 15% is often a good benchmark.
3. Debt-to-Equity Ratio: Low debt is a sign of financial health. Companies with a debt-to-equity ratio below 0.5 are generally considered safe.
🌐 Context for the Indian Stock Market:
In the vibrant world of Indian stocks, Coffee Can Investing aligns perfectly. Blue-chip stocks like Reliance Industries and stalwarts like TCS exemplify the strategy, consistently thriving and showcasing the enduring power of quality investments.
📈 Benefits of Coffee Can Investing:
1. Compound Wealth: Historical data shows that patient investors who embrace the Coffee Can approach benefit from the power of compounding. If you invested ₹1,00,000 in Infosys in 2004, it would have grown to ₹23,00,000 by 2021.
2. Reduced Emotional Stress: Fewer trades mean less emotional decision-making. A calmer mind often leads to better long-term choices.
3. Long-Term Vision: Companies like HDFC Bank, Wipro, and HUL have demonstrated sustained growth over decades, aligning perfectly with the Coffee Can philosophy.
🔍 Warren Buffett's Influence:
Warren Buffett, the Oracle of Omaha, is a living example of the Coffee Can approach. His investment in Coca-Cola in the 1980s is legendary. Buffett held onto his Coca-Cola shares, letting them compound over the years, turning a modest investment into a multibillion-dollar holding.
☕ How to Invest Systematically:
1. Start with Research: Identify quality stocks, check financial health, and select companies with proven stability.
2. Set a Regular Investment Schedule: Contribute consistently, aligning with your financial goals.
3. Diversify Thoughtfully: Spread investments across sectors to reduce risk.
4. Reinvest Dividends: Accelerate compounding by reinvesting dividends.
5. Periodic Review (Not Overreaction): Strategically review and adjust if necessary.
6. Learn and Stay Informed: Stay updated on market trends and financial news.
7. Patience is Key: Embrace market fluctuations with a calm mindset.
🚀 In Conclusion:
The Coffee Can Investing strategy isn't just a theory; it's a time-tested approach backed by historical successes. So, next time you enjoy your cup of coffee, remember - your portfolio might just be brewing its own success story! ☕💰
📌 Disclaimer:
The information provided is for educational purposes only and should not be considered as financial advice. Investing involves risks, and individuals should conduct thorough research or consult with a financial advisor before making investment decisions.
SENSEX WEEKLY EXPIRY HOURLY CHART FOR 12/01/2024Two traps Bull trap and Bear trap marked on hourly chart. We consolidating between 72394 and 70316. The decision making level is in between at 71355 wherein we have a triple bottom formation. Break of this formation may lead to downside to 70316 and if we take support from the triple bottom formation may lead to upside towards 72394.
How to trade in between these three levels is to divide it into 4 parts of 250 points as we see a 1000 points range in between each of the three important levels.
Happy Trading !!!
Options: Buying vs. Selling - A Comprehensive GuideExploring the realm of options trading unveils two key players: Buyers and Sellers.
Each wields unique strategies with its mix of risks and rewards.
Let's break it down in simple terms.
# Option Buyers: Riding on Possibilities
Chances of Making Money (PoP):
Buyers aim for good market moves, counting on accurate predictions within a specific time.
Risk:
For buyers, risks are limited. Losses only go as far as the premium paid.
Time Pressure:
Buyers fight against time. Being right means aligning predictions with a set timeframe.
Volatility Impact:
Buyers gain when things get more uncertain, making their options potentially more valuable.
Market Moves Matter:
Buyers thrive when the market goes up or down; they bet on a specific direction.
Skill Needed:
While simpler than selling, buyers need a good sense of market trends.
# Option Sellers: Crafting Strategies with Care
Chances of Making Money (PoP):
Sellers prefer stable or slightly tricky markets, benefitting from time passing by.
Risk Check:
Sellers face unlimited risks if the market moves too much against them.
Time on Their Side:
Sellers like time passing; it works in their favor.
Volatility Impact:
Less drama is better for sellers; it makes their options lose less value.
Direction Doesn’t Matter Much:
Sellers can make money in quieter markets; they have more room to move.
Skill Level:
Selling needs more skill, involving clever strategies and calculations.
# What Decides Success: A Mix of Factors
Winning in the options game is about reading the market, knowing your risk appetite, and being smart with strategies.
- Chances of Making Money: Buyers look for clear market trends, while sellers like it stable.
- Risk Game: Buyers have limits on losses; sellers need to watch out for big market moves.
- Time’s Effect: Buyers fight against time; sellers make time work for them.
- Cost and Volatility: Buyers pay more, and gain from more drama. Sellers earn from premiums and like calm markets.
Succeeding in options trading is about thinking smart, adapting to what the market gives, and keeping your skills sharp.
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weekly bearishlooks like its in a channel resistance, making Higher highs, and higher lows, some sort of profit book expecting , support 70660 expecting, cmp 71430
SENSEX HOURLY CHART WITH GANN LEVELS....Sensex chart above has 4 important zone levels on chart. Levels cluster in middle is 71259.90 and 70789.35 . Upper zone level is 72339.60 and Lower zone level is 69665.70 . Short term traders can use these levels for short term trading as per their risk profile.
Happy Trading !!!
Index analysis for 22nd December 2023 for educational purposeIndex analysis for 22nd December 2023 for educational purpose
This video is for educational purpose and my personal view . We are NOT SEBI registered Advisor, we only give the level on our practical trading experience. Kindly take the trade according to your risk and reward position and consulting your advisor. It is advisable to take the advice of SEBI registered advisor.
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Options Decoded: Intrinsic Value, Moneyness RevealedCracking the Code: Understanding Intrinsic Value and Moneyness in Options Trading
Welcome to the journey of unraveling the mysteries of options trading. Today, we'll demystify two crucial concepts: Intrinsic Value and Moneyness. Let's dive in.
# Moneyness in a Nutshell
In options trading, Moneyness is the magic word that describes the relationship between the option's strike price and the current price of the underlying asset. It's like deciphering the secret code to assess an option's potential profitability.
At-the-Money (ATM) Options:
An option is ATM when its strike price closely aligns with the current market price of the asset. No profits or losses just yet.
Example: If a stock is at ₹1,000, an ATM call and put option would both have a strike price of ₹1,000.
In-the-Money (ITM) Options:
ITM options have a strike price favorable for profits if exercised immediately. They come with a higher premium.
Example: With the stock at ₹1,000, a call option with a ₹950 strike is ITM, and a put option with a ₹1,050 strike is also ITM.
Out-of-the-Money (OTM) Options:
OTM options have a strike price unfavorable for immediate profits. They have a lower premium.
Example: If the stock is at ₹1,000, a call option with a ₹1,050 strike is OTM, and a put option with a ₹950 strike is OTM.
Moneyness is a dynamic concept. An option that's ATM now can become ITM or OTM as the underlying asset's price moves.
# Demystifying Intrinsic Value
Now, let's spotlight Intrinsic Value, the hidden treasure within an option. Intrinsic Value is the real, tangible value an option holds.
For Call Options:
- Intrinsic Value = Spot Price - Call Option Strike Price
Scenario 1: If Bank Nifty is at ₹40,000 and the call option strike is ₹39,000,
- Intrinsic Value = ₹1,000 (Profitable)
Scenario 2: Call option strike at ₹40,500,
- Intrinsic Value = ₹0 (Non-Negative)
Scenario 3: Call option strike at ₹41,500,
- Intrinsic Value = ₹0 (Non-Negative)
For Put Options:
- Intrinsic Value = Put Option Strike Price - Spot Price
Scenario 4: Put option strike at ₹41,000,
- Intrinsic Value = ₹1,000 (Profitable)
Scenario 5: Put option strike at ₹39,500,
- Intrinsic Value = ₹500 (Profitable)
Scenario 6: Put option strike at ₹38,000,
- Intrinsic Value = ₹0 (Non-Negative)
Remember, Intrinsic Value can't go negative. It represents the concrete worth of the option based on the current market conditions.
Mastering these concepts is like wielding a powerful sword in the options trading arena. Stay tuned for more insights into the fascinating world of financial possibilities!
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Sensex analysis for 15th December 2023 for educational purposeSensex analysis for 15th December 2023 for educational purpose
This video is for educational purpose and my personal view . We are NOT SEBI registered Advisor, we only give the level on our practical trading experience. Kindly take the trade according to your risk and reward position and consulting your advisor. It is advisable to take the advice of SEBI registered advisor.
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Sensex analysis for 8th December 2023 for educational purposeSensex analysis for 8th December 2023 for educational purpose
This video is for educational purpose and my personal view . We are NOT SEBI registered Advisor, we only give the level on our practical trading experience. Kindly take the trade according to your risk and reward position and consulting your advisor. It is advisable to take the advice of SEBI registered advisor.
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Understanding Options Trading Terminology: An In-Depth GuideUnderstanding Options Trading Terminology: An In-Depth Guide
Embarking on the journey of options trading requires a solid grasp of key terms. Let's delve into the intricacies of these terms to equip you for successful trading.
# Call Options (CE) and Put Options (PE)
**Call Options (CE):**
- When you buy a Call option (going Long), you're betting on the stock's upward movement.
- Selling a Call option (going Short) means you're betting on the stock's downward movement.
**Put Options (PE):**
- Selling a Put option (going Short) is a bet on the stock's upward movement.
- Buying a Put option (going Long) means you're betting on the stock's downward movement.
# Expiration Date
The expiration date is when the option owner must exercise their right to buy or sell the underlying asset. After this date, the option becomes worthless. Indian markets usually see monthly expiries on the last Thursday, though weekly or daily expiries exist.
# Options Premium
The options premium is the price paid by the buyer to the seller for the right to buy or sell the underlying asset. Influenced by market price, strike price, time until expiration, and asset volatility, it represents the cost of the option contract.
*Example:* Buying a call option on Reliance Industries with a strike price of 2,200 INR and a premium of 50 INR means paying 50 INR per share for the right to buy Reliance Industries shares at 2,200 INR before expiration.
# Lot Size
Lot size refers to the number of contracts traded in a single order. For NIFTY 50 index options in India, the lot size is typically 50 contracts. Understanding lot size is crucial, impacting trading costs and potential profitability.
# Strike Price
The strike price is where the option buyer can buy or sell the underlying asset. In India, NIFTY index options often have strike prices set at regular intervals, like every 50 points.
*Example:* If the NIFTY index is at 21,000, strike prices may include 20,950, 21,000, and 21,050. Buying a call option with a strike of 21,050 bets on the index rising above that level.
# Spot Price
The spot price is the current market price of the underlying asset. It's essential in determining the intrinsic value of an option, which is the difference between the spot price and the strike price.
# Breakeven Points
Breakeven points are critical for traders. Let's illustrate:
- Selling a BN 6th Dec. 47400 CE (call option) with an expiry on 6th December.
- If BN closes at 47400 on expiry, the contract is valued at 0.
- If BN closes below 47400, it's valued at 0.
- If BN closes at 47401, it's priced at 1, and so on.
Understanding breakeven points is key to managing trades effectively.
Armed with this terminology, you're better prepared to navigate the dynamic landscape of options trading. Stay tuned for more insights into mastering this exciting financial realm!"
Sensex Expiry Overview - December 1 2023The market made a significant up move. But it lacks strength and momentum for further up moves. Any move will be slow; the market will be sideways from 67350 to 67520. There can be gamma bursts on either side. My view is sideways to bullish till 67520.
SENSEX EXPIRY LEVEL analysis for IST DEC'23 for educational purpSENSEX EXPIRY LEVEL analysis for IST DEC'23 for educational purpose
This video is for educational purpose and my personal view . We are NOT SEBI registered Advisor, we only give the level on our practical trading experience. Kindly take the trade according to your risk and reward position and consulting your advisor. It is advisable to take the advice of SEBI registered advisor.
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Sensex Sensex is at very crucial level if it open gap up today , will wait for some Retracement then go for LONGS
