FUT Position Trading with option chain

M

mvkarthik

Well-Known Member
#3
#3
http://www.nseindia.com/live_market...-&segmentLink=17&symbolCount=2&segmentLink=17

In the option chain look for MAXOI CE PE
SBIN
MAX OI
CE 290 -1,936,000
PE 250 -1,147,000
midpoint-270

what this MAX OI PE CE,indicates
Bulls protecting 250 LV,
Bears protecting 290 LV,
(this will be the range for JULY Expiry,For sbin the range is 250 to 290)
so one can take a position at this levels
EX
buy sbin at 250 LV.
sell sbin at 290 LV
if one get a buy signal at 250LV in chart buy with ST, target -270,290
if one get a sell signal at 290LV in chart sell with ST,target -270,250

what is midpoint, and how to use this point ?
MP-midpoint ((MP=MAXOICE+MAXOIPE/2)290+250/2=270)
sbin MP-270
now sbin trading at 265.20
one can use this MP for opportunity
if one get a buy signal in chart at 270,buy with ST,target is-290
if one get a sell signal in chart at 270,sell with ST,target is-250
------------------------------------------------
brief of Technical words
LV- levels
PE-Put
CE-Call
OI-open interest
MAX OI- levels that have max value
CHOI- change in open interest
MAX CHOI-level that have max value
MP-midpoint ((MP=MAXOICE=MAXOIPE/2)290+250/2=270)
ST-stop loss
-----------------------------------------------------
(its my view only)
-------------------------
 
Last edited:
R

rajesh0000

Active Member
#5
#5
Sir,
1. Obseving that Max OI CE < Max OI PE, are any precautions needed before selling at that level.
2. Are the OI levels on your charts drawn manually or auto generated.

Thanks
Rajesh
 
Last edited:
VJAY

VJAY

Well-Known Member
#6
#6
Dear Karthik,
Thanks for your positional thread in options..Here you use options to trade or futures?its not pair trading?what's the stops ?where you use 30 min & 4hour Tf?
 
M

mvkarthik

Well-Known Member
#7
#7
rajesh0000 said:
Sir,
1. Obseving that Max OI CE < Max OI PE, are any precautions needed before selling at that level.
2. Are the OI levels on your charts drawn manually or auto generated.

Thanks
Rajesh
Click to expand...
1. Obseving that Max OI CE < Max OI PE, are any precautions needed before selling at that level.?
yes,one need to look at MAX OI,MAX CHOI and chart at that LVs,and how they change at the particular time,
by that one can decide buy are sell at that LV
2. Are the OI levels on your charts drawn manually or auto generated.?
drawn manually for EX
 
M

mvkarthik

Well-Known Member
#8
#8
VJAY said:
Dear Karthik,
Thanks for your positional thread in options..Here you use options to trade or futures?its not pair trading?what's the stops ?where you use 30 min & 4hour Tf?
Click to expand...
Here you use options to trade or futures?
futures trades only
what's the stops ?
(nifty),RR-3:1
for nifty 30 min ST-30 to 50 points,target-100 to 150 points
for nifty 4hour ST-50 to 100 points,target-250 to 300 points

where you use 30 min & 4hour Tf?
(i use 30min chart for 2 to 3 days Position )
(i use 4hour chart for 5 days or more then 5 days Position )
 
U

umeshmandal

Well-Known Member
#9
#9
mvkarthik said:
nifty MAXOI

CE8500-3,199,425
PE7900-5,174,125
MP-8200
if i get sell signal in chart at 8500,
Sell NIFTY FUT at 8500 target-8200,7900 or sell at MP-8200 target 7900
if i get a buy signal in chart at 7900
Buy at 7900 target 8200 ,8500 or buy at MP-8200 target is 8500
http://postimg.org/image/hnn7gbboj/full/
(its my view only)
Click to expand...
A newbie query :
Does it make sense to SHORT :
CE8200 and PE 8200 at 260+85=Rs.345/- premium !? (The Mid point of HOI) or
CE8800 and PE 7600 at 20 + 10 = 30/- ( Added half the Difference of HOI levels of PE and CE ) or
CE8500 and PE 7900 at 95 + 30 = 125/- (Lvls of HOI)
 
Last edited:
C

comm4300

Well-Known Member
#10
#10
mvkarthik said:
http://www.nseindia.com/live_market...-&segmentLink=17&symbolCount=2&segmentLink=17

In the option chain look for MAXOI CE PE
SBIN
MAX OI
CE 290 -1,936,000
PE 250 -1,147,000
midpoint-270

what this MAX OI PE CE,indicates
Bulls protecting 250 LV,
Bears protecting 290 LV,
(this will be the range for JULY Expiry,For sbin the range is 250 to 290)
so one can take a position at this levels
EX
buy sbin at 250 LV.
sell sbin at 290 LV
if one get a buy signal at 250LV in chart buy with ST, target -270,290
if one get a sell signal at 290LV in chart sell with ST,target -270,250

what is midpoint, and how to use this point ?
MP-midpoint ((MP=MAXOICE+MAXOIPE/2)290+250/2=270)
sbin MP-270
now sbin trading at 265.20
one can use this MP for opportunity
if one get a buy signal in chart at 270,buy with ST,target is-290
if one get a sell signal in chart at 270,sell with ST,target is-250
------------------------------------------------
brief of Technical words
LV- levels
PE-Put
CE-Call
OI-open interest
MAX OI- levels that have max value
CHOI- change in open interest
MAX CHOI-level that have max value
MP-midpoint ((MP=MAXOICE=MAXOIPE/2)290+250/2=270)
ST-stop loss
-----------------------------------------------------
(its my view only)
-------------------------
Click to expand...
thank you.

Maxoi keeps changing. Is there a specific date that you consider as benchmark for deciding as levels? like start of new expiry date is when you will look at maxoi?

and, this can change when SBI reaches the 250/290 levels, then there could be new levels where maxoi is built up.

your thoughts please.
 
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