Stocks FnO positional trading

[summasumma]

Last month trades were full of naked-option positions....
This month we will try the Strangle in stock-options where we buy and hold
both call/put of different strike-price in stock and wait for some meaningful move in one direction....

If we dont handle strangle position properly it will act like a slow poison
where it will erode our capital from both ends with time-decay effect.
Thankfully we have stochastics to help us
Lets see how April goes with few strangle positions...

 

[summasumma]

just for my confirmation what was your ROI on LT trade??

ROI of the last LT trade was little over 100%....

 

[summasumma]

Bought LT 1450 CE @ 34
cmp:32

Bought CIPLA 400 CE @ 6.9
cmp: 7

I must say, these 2 trades are not entered with a convincing view.

LT case, ideally should go Long only when the blue-line in (15,3,3) also come out of OS zone(currently at 18.8). But still in entered Long today.

Cipla case, We should not trade when the (x,4,1) stochs group is scattered apart as its indication of flat or highly volatile market. Still i entered as all sotchs moved UP today and also i have a short-term view on this stock for the target of 418.

Hope market won't punish me for not sticking to rules....
In general both these scrip has +ve bias for sure. :thumb:

 

[summasumma]

trends are weak!! lets see..

also keep these in your watchlist..

1. adani ports
2. lupin
3. gmrinfra
4. IGL
5. gspl
6. union bank
7. tata global.

Just had a quick look with my own trend decider rules.

+ve trend stocks:
-----------------
lupin
gmrinfra
IGL
gspl( almost +ve....50-50 for now.... another 3-4 days will tell)


-ve trend stocks:
----------------
adani ports
unionbank
tata global


Eventhough above 3 stocks are overall in -ve trend, they are very much +ve for past 2-3 days based on the (x,4,1) stochs group discussed in this thread.
All 3 has good potential to move UP atleast for next 3-4 trading days with all stochs together without gap between them....


can i know on what basis you have filtered this list?

 

[prabhsingh]

I have entered LT 1450 call at 35 and i expect LT to touch atleast 1440-1445 where i think Call can be exited.

 

[nac]

^ Not necessarily...
His position will be in profit if spot goes to 1440-1450 within this week...

 

[prabhsingh]

1400 is going to act as strong support for LT hence we can expect some healthy movement in this stock.After moving continously for two days it might give side-way movement before continuing its journey.

 

[summasumma]

....
Bought LT 1450 CE @ 34
cmp:32

Bought CIPLA 400 CE @ 6.9
cmp: 7
....

LT 1450 CE @ 20
CIPLA 400 CE @ 5.8

still holding these 2 position as stochs are still UP.... M2M loss today is around 4500/-

Don't know whats going to happen to this tomorrow .....

 

[summasumma]

sold LT 1450 CE @ 14...

20 points / 5000 rs loss

 

[summasumma]

sold Cipla 400 CE @ 4.5

loss 2.5 points / 2500/- rs