Saturday 6 July 2013

SBI STRANGLE STRATEGY

Buy SBI 2000 call @25
Buy SBI 1800 put @ 21
COST =46    
 RISK PER LOT = 5750
RETURN = UNLIMITED
UPPER BREAK GIVEN POINT=2046
LOWER BREAK GIVEN POINT=1734

Pay off table...

Friday 5 July 2013

Rupee opens flat at 60.11 per dollar

The Indian rupee opened flat at 60.11 per dollar versus 60.13 yesterday. "The rupee could be weak on overnight dollar strengthening. The range for the day is seen between 60.10-60.40.Demand from oil importers and the much expected inflows for the HUL open offer led to rupee volatility yesterday. The rupee could be weak on overnight dollar strengthening.

Thursday 4 July 2013

COMPARISON BETWEEN DERIVATIVE AND EQUITY TRADING

In derivatives trading, traders can hold long or short positions for more than 1 day whereas in equity trading, short sell tradings are supposed to square off before the market closing on the same day. Traders must not carry forward their short positions in any way, denying which results in penalty around 20% in auction market Apart, these tips are divided into indexes and stocks. As said in our previous article, virtual scrips like nifty, bank nifty, cnx IT ect., are called as index stocks where as companies which exist in real are said to be stock scrips....

Wednesday 26 June 2013

OPTION ADJUSTION

Adjusting an option position really is an essential skill for any investor – I would even say it is a mandatory requirement. Properly managing risk by adjusting can help you repair strategies that have gone wrong, limit huge losses or even create additional potential gains As a disclaimer it’s important that you know both HOW to adjust an option trade and that you are aware of the additional broker commissions you will be charged to exit/enter additional contracts. Take your time when adjusting so that you don’t adjust and create an even bigger hole from which to dig out of.
1. What’s the goal?
 Make sure that you are either reducing risk somehow someway or  creating a new strategy that could make you more money.
2. Are you really reducing risk?
Forget for a minute that you are not going to make money if you get into a bad trade.
3. Should you just close out the trade?
This is always one of my 1st considerations. If you’ve made a small profit and things are starting to go south it might be a wise decision to just close out the trade and re-evaluate the market. Don’t let your ego get in the way of making money.
4. How have the market trend  changed?
I’m sure when you entered the trade you had a firm opinion on the market if the trend is changing then is your options strategy structured to profit from the new market Wait to see a medium term change to adjust and remember that 1 day doesn’t make a trend.


Tuesday 25 June 2013

OPTION STRATEGY PACKAGE

We have posted a sample strategy Nifty strangle strategy  on our blog. If you wish to get more such rocking!!!(5-7)  strategies in a month join our option strategies package. The traders having lack of time but interested in trading will love this package which gives LOW RISK HIGH RETURNS.
Price of our OPTION STRATEGY PACKAGE :
Monthly:     5000
Quarterly:   10000
Half yearly: 18000
Yearly :      35000
CONTACT @ 9179333088 FOR DETAILS  

Wednesday 19 June 2013

SHORT STRANGLE STRATEGY

Components
Short one put option with a lower strike price and short one call option at a higher strike price.
Risk / Reward
Maximum Loss: Unlimited as the market moves in either direction.
Maximum Gain: Limited to the net premium received for selling the options....

Tuesday 11 June 2013

LONG STRANGLE STRATEGY

Components
Long one put option with a lower strike price and long one call option at a higher strike price.
Risk / Reward
Maximum Loss: Limited to the total premium paid for the call and put options.
Maximum Gain: Unlimited as the market moves in either direction.
Characteristics
When to use: When you are bullish on volatility but are unsure of market direction....

Tuesday 4 June 2013

RELIANCE STRANGLE STRATEGY

BUY RELIANCE 820 CALL @11
BUY RELIANCE 760 PUT @11
COST =22     
 RISK PER LOT = 5500
RETURN = UNLIMITED
UPPER BREAK GIVEN POINT=842
LOWER BREAK GIVEN POINT=738

PAY OFF TABLE:...

Thursday 30 May 2013

NIFTY SHORT STRANGLE STRATEGY

SELL NIFTY 6000 PUT  @54
SELL NIFTY 6200 CALL @59
TOTAL RETURN=(54+59)*50= 5650
LOWER BREAK EVEN POINT=6141
HIGHER BREAK EVEN POINT=6054

OUTLOOK  FOR 7-9 DAYS