OI, PCR, Max Pain and future positions are back to normal. Break-out may happen. Stay away to get rid of Gamma effect

Time: 8:55 am  
VIX: 11.55      SGX Nifty: 9645        FII: +269 Cr        DII: -46 Cr
Open
Interest Analysis
Index
Max Pain
PCR
Highest
PE
CE
Highest Increase
PE
          CE
Nifty
9600
0.99
9500
9700
9450 (43%)
9600 CE (49%)
Banknifty
23500
1.13
23500
24000
23100 (103%)
24000 (48%)
                              
Technical
Data and Analysis
Index
Support
Resistance
4 Hour Trend
Daily Trend
Weekly Trend
Nifty
9376
9725
Up
Up
Up
Banknifty
23289
24636
Up
Up
Up
Future
position and Volume Analysis (Nifty and Banknifty stocks)
Long Build Up
Profit Booking
Short Build Up
Short Covering
High Delivery Volumes
Reliance, HUL
Tamo, HDFC Bank,
Grasim
Canara, SBI, TechM, Gail, Hindalco, Hero
VEDL, Wipro,  
Airtel, HDFC
Nifty
(Over all FNO Position: Neutral with negative bias)
·                    
FIIs are in buy side now.
·                    
Global market is slight positive and SGX nifty is flat.
·                    
No much speculation in FNO data.
·                    
Highest CE is at 9700 and highest PE is moved to 9500, but still
good volume at 9600 PE as well.
·                    
CEs are sold heavily yesterday in multiple strike prices.
·                    
PE is sold only at 9450.
·                    
Max Pain is at 9600 and PCR is below 1 which is very weak.
·                    
Don’t’ sell PE in last week to get rid of gamma effect.
Banknifty (Over all FNO Position: Neutral)
·                    
Both ICICI Bank and HDFC Bank are up in USA.
·                    
Highest CE is at 24000 and Highest PE is at 23500.
·                    
23000 PE is sold and CE is sold at 24000 CE.
·                    
PCR looks very normal now and Max Pain is at 23500.
·                    
CEs and PEs are sold at equal distance.
·                    
Downside is very limited and it is stronger than Nifty.
·                    
Good to sell 24000 CE and 23000 PE.
·                    
Banknifty is still strong as Highest PE is at 23500.
Executed Trades
ü 
Sold 9200 PE and 9900 CE in next month
ü 
Sold 9750 CE and 9800 CE in current month.
ü 
Sold 23000 PE, 24000 CE and 24100 CE.
Trading Plan
Ø 
Will deploy slowly in next month.
Ø 
Nifty is direction less now. Will deploy in short strangle
slowly.
Ø 
Will sell PE in next month if market moves up today.

Open Positions

Product Instrument Qty. Avg. price LTP P&L Chg.
NRML NIFTY17JUL9200PE NFO -900 23.05 27.45 -3960.00 +19.09%
NRML NIFTY17JUL9900CE NFO -900 23.09 24.25 -1042.50 +5.02%
NRML NIFTY17JUN9750CE NFO -900 6.05 5.75 +266.25 -4.89%
NRML NIFTY17JUN9800CE NFO -900 3.85 3.30 +495.00 -14.29%
NRML BANKNIFTY17JUN23000PE NFO -600 15.00 15.85 -510.00 +5.67%
NRML BANKNIFTY17JUN24000CE NFO -600 16.00 14.10 +1140.00 -11.88%
NRML BANKNIFTY17JUN24100CE NFO -600 11.50 9.50 +1202.00 -17.42%
TOTAL -2,409.25

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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