Huge short created in Banknifty than Nifty. Good resistance at 10500. Time to sell call ratio

Time: 8:05​​ am ​​ VIX:​​ 29.58 ​​​​ ​​ SGX Nifty: ​​ 10175​​ FII:​​ +1767​​ Cr​​ DII:​​ -1525​​ Cr

 

Option Data Analysis

 

Index

Max Pain

PCR

Highest OI

PE

CE

Highest Increase in OI

PE

 CE

Nifty

10200

1.09

10000

10500

10100​​ (18%)

10550 (199%)

Banknifty

21500

0.67

21000

23000

20800​​ (18%)

22500​​ (116%)

 

Future Analysis (Nifty & Banknifty)

Symbol

Expiry Date

Last Price

Chg
(Rs)

Chg
(%)

Open Interest

Change in OI

Change (%)

NIFTY

30-Jul-20

10,288.95

-162.50

-1.55%

7,493,100

2,758,800

58.27%

BANKNIFTY

30-Jul-20

21,378.85

-902.15

-4.05%

894,475

364,125

68.66%

Nifty​​ (Over all FNO Position:​​ Bearish)

  • Global market is​​ down​​ and​​ SGX nifty is​​ down.

  • FII is in buy mode

  • Highest PE is at 10000 and highest CE is at 10500.

  • PEs are added at​​ 10100​​ and CEs are added at 10550

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

  • MAX Pain is at 10200 (down​​ by​​ 50 points)

  • PCR is​​ decreasing

  • Net future Position is in​​ short

  • Better to sell​​ call ratio

 

Banknifty​​ (Over all FNO Position:​​ Bearish)

 

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

  • Highest PE is at​​ 21000​​ and Highest CE is at 23000.

  • PEs are sold at​​ 20800​​ and CEs are sold at​​ 22500.

  • More number of​​ CEs​​ have been added than​​ PEs

  • Max Pain is at 21500 (down​​ by​​ 200 points)

  • PCR is​​ decreasing

  • Net future position is in​​ short

  • Better to​​ sell call ratio

 

Executed Trades

 

  • Created put butterfly at 10500.

 

Trading Plan

  • Shor​​ straddle​​ and butterfly

 

Open Positions

Refer yesterday post for positions. Could not pull today

 

 

 

 

 

 

 

 

 

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.