New positions

As expected Nifty Closed marginally above 5200. Remember we had short sold Dec 5200 ce.

I have the following open position :

NTPC 230 CE @ 8.50

&

NTPC 235 CE @ 6.00

NTPC looks good for 250 spot . A close above 232 is positive. SL for NTPC 226 Spot.

New postions for Jan 2010

Be on a look out for initiating short positions on 4600PE Dec Strike @ 50-60

2 Lots @ 50-60 & 2 lots if premium value reaches 70 - 80

Open positions

I have the following open positions :

Short sold CE 5300 @ 54.5 & Short Sold CE 5200 @ 86 & 26

Range bound startegy Dec Expiry

If you feel spot Nifty will end above 4900 & 5400 you can execute the following STRANGLE STRATEGY :-

Strategy					Profitable		Total Inflow	Max Profit	Max Loss
Short Strangle
Contract	Act	Strike	At	Prem	Above	Below
OPT-NIFTY-31-Dec-2009-CE OPT-NIFTY-31-Dec-2009-PE	Sell Sell	5,200.00 5,100.00	at at	83.50 108.50	4,908.00	5,392.00	9,600.00	9,600.00	Unlimited

Follow up post - 22 Nov 09 recommendations

As mentioned on 22 Nov 09

"One can initiate short positions in the following puts & calls :-

2 lots 4700 PE Dec Strike @ 50-60
&
2 lots 5400 CE Dec Strike @ 50-60"

Both positions have been initiated post 22 Nov 09.

Lets wait or expiry or a suitable time to exit.

Nifty Dec 2009 Strike Strategy

One can initiate short positions in the following puts & calls :-

2 lots 4700 PE Dec Strike @ 50-60
&
2 lots 5400 CE Dec Strike @ 50-60

Also initiate short positions in 2 lots each as and when premium reaches 90-110+ level :

4700 Dec PE Strike trades @ 85-110+
&
5400 Dec CE Strike trades @ 90-110+

Will be following up on the strategy & will try to initiate open position myself.

Correction in SL

Stop Loss should be Spot nifty closing below 4940 (61.8 % retracement) if any one has taken short position in Nov PE 5100 @ 100+.

Nifty has been closing in a DOJI Pattern for 2-3 days which indicates indecisiveness . Market may break out either upwards or downwards very fast.

A matter of worry is Nifty is unable to close above 5060 which is 80 % retracement level indicating 5000 level in most probability will be breached if market unable to sustain above 5060 level.

Do not short any call or put at the moment.

Risky NOV Expiry Naked Strategy nOV

If u are GAME & READY to take RISK then

Short Sell Nov 5100 PE @ 100 to 130 + Range

STOP LOSS : SPOT NIFTY CLOSING ABOVE 5250 LEVEL ON CLOSING BASIS

Range Bound Expiry Strategy

Strategy Profitable if Nifty closes between 4907 and 5192 on EXPIRY

Strategy					Profitable		Total Inflow	Max Profit	Max Loss
Short Strangle
Contract	Act	Strike	At	Prem	Above	Below
OPT-NIFTY-26-Nov-2009-CE OPT-NIFTY-26-Nov-2009-PE	Sell Sell	5,100.00 5,000.00	at at	47.45 45.00	4,907.55	5,192.45	4,622.50	4,622.50	Unlimited

Stop Loss Triggered

Today all my short positions were squared up at 4700 Spot Nifty.
A bad start to this months trading.
But we must also be prepared to take a HIT..... RIGHT.

But I feel it is also the right time to pick up / accumulate a few good stocks (Blue chip / A category ) at EVERY FALL .