Still BNF is in long mode than Nifty. Nifty has strong support at 12500 with jumping max pain. Looks positive. Time to sell PE below 12500 with hedge

Time: 8:43​​ am VIX:​​ 19.80​​ SGX Nifty:​​ ​​ 12885​​ FII:​​ +4905​​ DII:​​ -3829

 

Option Data Analysis (NOV)

 

Index

Max Pain

PCR

Highest OI

PE

CE

Highest Increase in OI

PE

 CE

Nifty

12500

1.66

12000

13000

12800(658%)

13100 (456.1%)

Banknifty

27500

1.52

28000

29000

28500 (829.4%)

31000 (973%)

 

Future Analysis (Nifty & Banknifty)

 

Symbol

Expiry Date

Last Price

Chg
(Rs)

Chg
(%)

Open Interest

Change in OI

Change (%)

NIFTY

26-Nov-20

12,889.40

100.50

0.79%

12,177,750

292,200

2.46%

BANKNIFTY

26-Nov-20

29,210.00

613.65

2.15%

1,942,925

130,550

7.20%

​​ 

Nifty​​ (Over all FNO Position: Range-bound)

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

  • FII is in buy mode

  • Highest PE is at 12000 and highest CE is at 13000.

  • PEs are added at 12800 and CEs are added at 13100

  • More number of PEs are added than CEs

  • Max Pain is at 12500 (up​​ by​​ 200 points)

  • PCR is not changing

  • Net​​ future Position is in neutral

  • Good time for short strangle

 

Banknifty​​ (Over all FNO Position: Range-bound)

 

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

  • Highest PE is at 28000 and Highest CE is at 29000.

  • PEs are sold at 28500 and CEs are sold at 31000.

  • More number of PEs have been added than CEs

  • Max Pain is at 27500 (up​​ by 500 points)

  • PCR is not changing

  • Net future position is in​​ long

  • Good time for short strangle

Executed Trades

  • Created Chicken IC 12200 PE, 12100 PE & 13500 CE & 13400 CE​​ 

  • Sold​​ 11600 PE for strangle

Trading Plan

  • Will manage short strangle​​ and chicken IC

 

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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