Day Trading Futures
- Thread starter manishchan
- Start date
- Tags day trading strategy tsf
- Status
Little follow up from the IV and VIX watching front, spotted in the Nifty market:
EOD to see when the excersise was started: http://i61.tinypic.com/2rrw481.png
- 10.09.2014 (EOD): http://i57.tinypic.com/34rcg8j.jpg
- 11.09.2014 (EOD): http://i60.tinypic.com/apb3f6.png
- 12.09.2014 (EOD): http://i59.tinypic.com/xoejj4.png
- 15.09.2014 (EOD): http://i59.tinypic.com/2enm2wo.png
- 16.09.2014
............. During the morning option matrix: http://i59.tinypic.com/20kdlc3.png
............. (EOD): http://i61.tinypic.com/25i5a43.png
............. VIX (EOD) chart: http://i58.tinypic.com/2jgyz5.png
- 17.09.2014
............ Morning option matrix: http://i61.tinypic.com/szajk6.png
............ (EOD): http://i60.tinypic.com/34hti81.png
............ VIX (EOD) chart: http://i62.tinypic.com/24obq6q.png
- 18.09.2014
............ Morning option matrix: http://i58.tinypic.com/25ewoxi.png
............ During the day option matrix: http://i58.tinypic.com/vrpsth.png
............ (EOD): http://i59.tinypic.com/2iu6of9.png
............ VIX (EOD) chart: http://i58.tinypic.com/152dl5y.png
And the winner of today is? Stock 72 :thumb:
(Well done)
- Traders who trade short atm straddles had to do some work today. Even shorter of Strangles did sit on some fire today. Those are the days those specific option traders really have to know what they do and this specially when do trade those option strategies in the current month series, on an intra day level and not in a larger time frames. Very specific job in option trading
- The thoughts and comments made in the forum in the past, that only short option players can make money, is clearly proved wrong an other time with the example from Stock 72. Not a daily example, but one which counts.
- In todays strong up move in Nifty, the VIX clearly came down. So your VIX seems to work like in any other index market under such conditions and was expected to work like that. In sideway days it seems that your VIX is acting as veiled as it can as posted before. So nothing more to get out of that and the VIX topic to me is closed. If you want to further follow it to may get some thing more out of it, here the link: http://www.nseindia.com/live_market/dynaContent/live_watch/vix_home_page.htm
Coming to the remaining topic about the IV in the Nifty options:
- Not much to tell about how the IV was doing in yesterdays Nifty market, which was a side ways day with nice swings around 40 points. Not easy to catch, depending on how your system is worked out and filtered. One interesting fact was that the daily bar was an inside bar. I do not follow many chart patterns in the markets I trade, but I would recommend to keep that pattern in your list.
- Now today there was this beautiful, running up market and you may soon see your next all time high in Nifty like this view shows the all time top of the world, which is the Himalaya http://i60.tinypic.com/346xmz9.jpg The IV of the itm calls compare to the IV from the itm puts was around the same level in the morning. During the day the IV in the itm calls rises (Demand), as it at the same time came down in the itm puts.
The IV of the atm calls came down a tiny bit during the day and the IV of the atm puts came clearly down during the day. On the other hand the IV during the day of the otm calls came clearly down as the IV of the otm puts did clearly come down. So according to VIX: If VIX comes down as it did during the day, the otm options will first reflect that fact. Check the next time what happens when it is vice versa in a strong falling market. If you have better conclusions to that, kindly post it.
That's it for the moment until the last update on that exercise. Take care and enjoy your evening / Dan
Here a goody for your ears if you like foreign sound: https://www.youtube.com/watch?v=ldY4A1VCx_s
EOD to see when the excersise was started: http://i61.tinypic.com/2rrw481.png
- 10.09.2014 (EOD): http://i57.tinypic.com/34rcg8j.jpg
- 11.09.2014 (EOD): http://i60.tinypic.com/apb3f6.png
- 12.09.2014 (EOD): http://i59.tinypic.com/xoejj4.png
- 15.09.2014 (EOD): http://i59.tinypic.com/2enm2wo.png
- 16.09.2014
............. During the morning option matrix: http://i59.tinypic.com/20kdlc3.png
............. (EOD): http://i61.tinypic.com/25i5a43.png
............. VIX (EOD) chart: http://i58.tinypic.com/2jgyz5.png
- 17.09.2014
............ Morning option matrix: http://i61.tinypic.com/szajk6.png
............ (EOD): http://i60.tinypic.com/34hti81.png
............ VIX (EOD) chart: http://i62.tinypic.com/24obq6q.png
- 18.09.2014
............ Morning option matrix: http://i58.tinypic.com/25ewoxi.png
............ During the day option matrix: http://i58.tinypic.com/vrpsth.png
............ (EOD): http://i59.tinypic.com/2iu6of9.png
............ VIX (EOD) chart: http://i58.tinypic.com/152dl5y.png
And the winner of today is? Stock 72 :thumb:
(Well done)- Traders who trade short atm straddles had to do some work today. Even shorter of Strangles did sit on some fire today. Those are the days those specific option traders really have to know what they do and this specially when do trade those option strategies in the current month series, on an intra day level and not in a larger time frames. Very specific job in option trading
- The thoughts and comments made in the forum in the past, that only short option players can make money, is clearly proved wrong an other time with the example from Stock 72. Not a daily example, but one which counts.
- In todays strong up move in Nifty, the VIX clearly came down. So your VIX seems to work like in any other index market under such conditions and was expected to work like that. In sideway days it seems that your VIX is acting as veiled as it can as posted before. So nothing more to get out of that and the VIX topic to me is closed. If you want to further follow it to may get some thing more out of it, here the link: http://www.nseindia.com/live_market/dynaContent/live_watch/vix_home_page.htm
Coming to the remaining topic about the IV in the Nifty options:
- Not much to tell about how the IV was doing in yesterdays Nifty market, which was a side ways day with nice swings around 40 points. Not easy to catch, depending on how your system is worked out and filtered. One interesting fact was that the daily bar was an inside bar. I do not follow many chart patterns in the markets I trade, but I would recommend to keep that pattern in your list.
- Now today there was this beautiful, running up market and you may soon see your next all time high in Nifty like this view shows the all time top of the world, which is the Himalaya http://i60.tinypic.com/346xmz9.jpg The IV of the itm calls compare to the IV from the itm puts was around the same level in the morning. During the day the IV in the itm calls rises (Demand), as it at the same time came down in the itm puts.
The IV of the atm calls came down a tiny bit during the day and the IV of the atm puts came clearly down during the day. On the other hand the IV during the day of the otm calls came clearly down as the IV of the otm puts did clearly come down. So according to VIX: If VIX comes down as it did during the day, the otm options will first reflect that fact. Check the next time what happens when it is vice versa in a strong falling market.
If you have better conclusions to that, kindly post it. That's it for the moment until the last update on that exercise. Take care and enjoy your evening / Dan
Here a goody for your ears if you like foreign sound: https://www.youtube.com/watch?v=ldY4A1VCx_s
- Traders who trade short atm straddles had to do some work today. Even shorter of Strangles did sit on some fire today. Those are the days those specific option traders really have to know what they do and this specially when do trade those option strategies in the current month series, on an intra day level and not in a larger time frames. Very specific job in option trading
If you check this current months data, short straddles written @ the beginning of the series are still in profit .. the crux is the timing of opening the pair ...
Pairs opened this week might have had major trouble with the CEs .. else, its still very manageable . :thumb:
its very important to note here that Option writing strategies might not give such spectacular return as the example mentioned here, but can give consistent returns, month after month, year after year ...
Just my 2 cents ..
todays FII/ DII figures.
FII : -9.57 Crs.
DII : 84.45 Crs.
and NS ended 1.75% up ...
what will a FII 1000 Crs do to NS at these levels ?
FII : -9.57 Crs.
DII : 84.45 Crs.
and NS ended 1.75% up ...
what will a FII 1000 Crs do to NS at these levels ?
SOLD NET 9 CR IN CASH, WHILE DII'S BOUGHT NET 84 CR IN CASH.
FII'S IN F&O BOUGHT NET 645 CR IN INDEX FUTURES
Bought net 39 cr in index options and
Bought net 81 cr in stocks futures.
So today was day of not much support in cash market by fii's
but real turnaround was seen in index futures where they bought 645 cr net ....
Now moving onward's though world markets are eagerly waiting for scotland referendum vote
on independence whether they are going to break 307 years long association with uk or want to continue that will give direction to world markets.
BUT as fii's have not bought heavy in cash and they have only covered there short in index futures which shows this bounce is capped due to absence of fii's fund and most of today's move was panic short covering from those players who went short looking at fii's selling.
All in all unless fii's buy heavy in cash in coming days too much upside to market should not be expected.....:thumb:
P-1 or 2 Bars Entry
Today I will share an entry technique which is my favourite entry technique for getting into a trend move, Many times we either miss an entry in a trend move or we get out in between and we want to enter again with small, predefined and controlled risk.
The chart is attached. Here market was in uptrend, it opened with a gap up and after a bit of correction, the uptrend resumed and we want a low risk entry in this uptrend.
Here we locate a small pivot low. And our entry in long trade is above high of the bar which is one bar earlier to pivot low bar provided it is higher than the pivot low bar high, else we go 2 bars earlier.
I have marked 5 places where market gave us a low risk entry shown by blue lines. The stoploss is at the low of the pivot low bar....and you are hooked into a trend...enjoy the ride.
This is an entry method....it is NOT a stand alone trading system....please use it as an entry method only.
The method is based on the fact that an uptrend is made up of higher pivot highs and higher pivot lows and if we keep stops at a pivot low, it will not be hit in a strong uptrend, and if it is hit, it means that the uptrend is weak and we better get out instead of hanging around in a market which is not trending strongly. It is based on sound trading principle and hence this entry technique has more than 75-80 % success rate and is my favourite.....This entry is a great entry for adds even if we are already in trend. It gives low risk add points.
Mirror image to get into a downtrend.....
Smart_trade
Addition : I am purposely posting old post which has a chart and which clearly explains the technique.I could have posted todays chart as well with markings. But now anyone who wants to learn can open todays 5 min NF chart and see the entries on that chart with Stoploss places and whether succeeded or failed. This will give real learning else If I post todays chart, people will read it and then add one more tool in their many systems they have and then that is all...and this is posted for new guys who are srtuggling to get good entries with small stoploss giving a high RR...this is not for experts who need no methods...
Today I will share an entry technique which is my favourite entry technique for getting into a trend move, Many times we either miss an entry in a trend move or we get out in between and we want to enter again with small, predefined and controlled risk.
The chart is attached. Here market was in uptrend, it opened with a gap up and after a bit of correction, the uptrend resumed and we want a low risk entry in this uptrend.
Here we locate a small pivot low. And our entry in long trade is above high of the bar which is one bar earlier to pivot low bar provided it is higher than the pivot low bar high, else we go 2 bars earlier.
I have marked 5 places where market gave us a low risk entry shown by blue lines. The stoploss is at the low of the pivot low bar....and you are hooked into a trend...enjoy the ride.
This is an entry method....it is NOT a stand alone trading system....please use it as an entry method only.
The method is based on the fact that an uptrend is made up of higher pivot highs and higher pivot lows and if we keep stops at a pivot low, it will not be hit in a strong uptrend, and if it is hit, it means that the uptrend is weak and we better get out instead of hanging around in a market which is not trending strongly. It is based on sound trading principle and hence this entry technique has more than 75-80 % success rate and is my favourite.....This entry is a great entry for adds even if we are already in trend. It gives low risk add points.
Mirror image to get into a downtrend.....
Smart_trade
Addition : I am purposely posting old post which has a chart and which clearly explains the technique.I could have posted todays chart as well with markings. But now anyone who wants to learn can open todays 5 min NF chart and see the entries on that chart with Stoploss places and whether succeeded or failed. This will give real learning else If I post todays chart, people will read it and then add one more tool in their many systems they have and then that is all...and this is posted for new guys who are srtuggling to get good entries with small stoploss giving a high RR...this is not for experts who need no methods...
Last edited:
P-1 or 2 Bars Entry
Today I will share an entry technique which is my favourite entry technique for getting into a trend move, Many times we either miss an entry in a trend move or we get out in between and we want to enter again with small, predefined and controlled risk.
The chart is attached. Here market was in uptrend, it opened with a gap up and after a bit of correction, the uptrend resumed and we want a low risk entry in this uptrend.
Here we locate a small pivot low. And our entry in long trade is above high of the bar which is one bar earlier to pivot low bar provided it is higher than the pivot low bar high, else we go 2 bars earlier.
I have marked 5 places where market gave us a low risk entry shown by blue lines. The stoploss is at the low of the pivot low bar....and you are hooked into a trend...enjoy the ride.
This is an entry method....it is NOT a stand alone trading system....please use it as an entry method only.
The method is based on the fact that an uptrend is made up of higher pivot highs and higher pivot lows and if we keep stops at a pivot low, it will not be hit in a strong uptrend, and if it is hit, it means that the uptrend is weak and we better get out instead of hanging around in a market which is not trending strongly. It is based on sound trading principle and hence this entry technique has more than 75-80 % success rate and is my favourite.....This entry is a great entry for adds even if we are already in trend. It gives low risk add points.
Mirror image to get into a downtrend.....
Smart_trade
Addition : I am purposely posting old post which has a chart and which clearly explains the technique.I could have posted todays chart as well with markings. But now anyone who wants to learn can open todays 5 min NF chart and see the entries on that chart with Stoploss places and whether succeeded or failed. This will give real learning else If I post todays chart, people will read it and then add one more tool in their many systems they have and then that is all...and this is posted for new guys who are srtuggling to get good entries with small stoploss giving a high RR...this is not for experts who need no methods...
Today I will share an entry technique which is my favourite entry technique for getting into a trend move, Many times we either miss an entry in a trend move or we get out in between and we want to enter again with small, predefined and controlled risk.
The chart is attached. Here market was in uptrend, it opened with a gap up and after a bit of correction, the uptrend resumed and we want a low risk entry in this uptrend.
Here we locate a small pivot low. And our entry in long trade is above high of the bar which is one bar earlier to pivot low bar provided it is higher than the pivot low bar high, else we go 2 bars earlier.
I have marked 5 places where market gave us a low risk entry shown by blue lines. The stoploss is at the low of the pivot low bar....and you are hooked into a trend...enjoy the ride.
This is an entry method....it is NOT a stand alone trading system....please use it as an entry method only.
The method is based on the fact that an uptrend is made up of higher pivot highs and higher pivot lows and if we keep stops at a pivot low, it will not be hit in a strong uptrend, and if it is hit, it means that the uptrend is weak and we better get out instead of hanging around in a market which is not trending strongly. It is based on sound trading principle and hence this entry technique has more than 75-80 % success rate and is my favourite.....This entry is a great entry for adds even if we are already in trend. It gives low risk add points.
Mirror image to get into a downtrend.....
Smart_trade
Addition : I am purposely posting old post which has a chart and which clearly explains the technique.I could have posted todays chart as well with markings. But now anyone who wants to learn can open todays 5 min NF chart and see the entries on that chart with Stoploss places and whether succeeded or failed. This will give real learning else If I post todays chart, people will read it and then add one more tool in their many systems they have and then that is all...and this is posted for new guys who are srtuggling to get good entries with small stoploss giving a high RR...this is not for experts who need no methods...
Dear ST bro,Thank you very much for sharing such a nice entry (P-1 or 2 Bars Entry) technique.....:clapping::thumb:
HEM
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