Like wise, you can try CE options too buying them around the support/bounce back levels given by Nishikant and disposing them at reistance levels.
Just a word of caution: when you are trading such OTM options, no doubt, the outlay involved is small and the amount of risk is also limited. But in actual practice, if your broker charges Rs.100 per option as brokerage + taxes, then atleast a total of Rs.5.00 will go to that count on both the trades. Therefore you have to ensure that spread between your buy and sell is sufficient to cover your charges besides making some gain. All the best.
Thanks mayavi.
Your suggestion would be applicable for my religare trading account which I seldomly use.
But mainly for traiding, I use reliance money account and they don't charge me on the basis of the lot but rather on the basis of margin turnover.
So consider that I am buying 1000 quantity at strike price of 3000, then in that case my margin turnover for the trade would be 30 lacks (including both buy and sell trades).
Now to get the limit of 30 lacks I would have to 333 rs to my broker ( as with 1000 rs ka limit card I am getting 90 lacks ka margin amount)
So It turns out to be like this....
for buying and selling 20 lots of nifty (1000 quantity), I have to pay 333 rs to my broker. plus additional some 70 rs for other charges. So it is turning out that to make any gains I have to earn just 1/3 point beween my buy and sell spread....
