Good long is added in Nifty and banknifty. More PEs added. May reach 11500. Time to sell PE

Time: 8:15 am ​​ VIX:​​ 23.64 ​​​​ ​​ SGX Nifty: ​​ 11333​​ FII:​​ +246​​ Cr​​ DII:​​ -1017​​ Cr

 

Option Data Analysis

 

Index

Max Pain

PCR

Highest OI

PE

CE

Highest Increase in OI

PE

 CE

Nifty

11000

2.19

11000

11500

11200​​ (184%)

11300 (5%)

Banknifty

22000

0.88

21500

23000

21700 (165%)

24100 (105%)

 

Future Analysis (Nifty & Banknifty)

Symbol

Expiry Date

Last Price

Chg
(Rs)

Chg
(%)

Open Interest

Change in OI

Change (%)

NIFTY

27-Aug-20

11,302.35

182.50

1.64%

5,660,925

1,193,025

26.70%

BANKNIFTY

27-Aug-20

22,102.60

266.15

1.22%

600,525

103,650

20.86%

Nifty​​ (Over all FNO​​ Position:​​ Slightly Bullish)

  • Global market is​​ MIXED​​ and SGX nifty is bit up

  • FII is in​​ BUY​​ mode

  • Highest PE is at 11000 and highest CE is at 11500.

  • PEs are added at 11200 and CEs are added at​​ 111300

  • More number of​​ PEs are added than​​ CEs

  • MAX Pain is at 11000​​ (no change)

  • PCR is not changing

  • Net future Position is in​​ Long​​ (Including Aug)

  • Good time​​ to sell PE

 

Banknifty​​ (Over all FNO Position:​​ Slight Bullish)

 

  • ICICI Bank is down and HDFC Bank is down in USA.

  • Highest PE is at 21500 and Highest CE is at​​ 23000.

  • PEs are sold at 21500 and CEs are sold at 22500.

  • More number of CEs have been added than PEs

  • Max Pain is at 22000 (no change)

  • PCR is​​ not changing

  • Net future position is in​​ long

  • Good time to​​ sell​​ PE with hedge

 

Executed Trades

 

  • Exited​​ Calendar Spread wit 3600

  • Rolled up CE & Rolled up PE

  • Sold 10500 PE

 

Trading Plan

  • Will manage straddle​​ and ratio spread

 

My Position

Jegathesan Durairaj, a mathematician by qualification, an Ex-software professional and now a full time Risk Defined Option Writer. With his Open Book Strategies, he is the most known identity in twitter as itjegan, with huge followers. He had won Zerodha 60 Day Challenge – 10 Times round-the-clock. He is one of the prime Option Writing Trainer and tutored close to 1000 members till now.

He is the Mastermind of CapitalZone – Active Option Trading where Traders can avail Trading Chart with customised indicators, FNO tools and Payoff analysis. His keynote is to provide whole FNO deets to be handy for Traders in a sole place.

Now he is taking more heed on hedging portfolio in Option Writing where we might subject to more market risk. He is streamlining his strategies often and improving perpetually. At this time unfolding ways to measure good-quality Trend Following System.

Conducting workshop in all Metro Cities (Delhi, Mumbai, Bangalore, Chennai and Coimbatore) often based on queries from Traders.

 

 

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