Nifty Options Vertical Spread Trading

[ananths]

after 6000 5800 has most OI
200 points waterfall??

Don't know yaar..i have stopped predicting the market. Wherever it goes will play in that direction. Since it has fallen so much reduced the quantity now and also the result of few losses playing against it.
If you see the spread #1 was a put spread (6200/6100) it was an excellent one!..but see i did not hold it

 

[ananths]

Spread #6

Long 5900PE @ 37
Short 5800PE@ 19

Total cost 18 points.

Entered with very less number of lots because market is very close to 6000PE where is highest OI. It may act as support; if its broken, flood gates are open?

Added to spread #6

Long 5900PE @ 40 (39) = -1
Short 5800PE@ 21 (20) = +1

Average cost 19 points.

Highest OI is changing from 6000PE to 5800PE. :thumb:

 

[Purushotham]

Added to spread #6

Long 5900PE @ 40 (39) = -1
Short 5800PE@ 21 (20) = +1

Average cost 19 points.

Highest OI is changing from 6000PE to 5800PE. :thumb:

Please explain what is the no in bracket...

 

[ananths]

Please explain what is the no in bracket...

Current price at the time of posting here.

 

[ananths]

Added to spread #6

Long 5900PE @ 40 (39) = -1
Short 5800PE@ 21 (20) = +1

Average cost 19 points.

Highest OI is changing from 6000PE to 5800PE. :thumb:

Current status,

Long 5900PE @ 40 (22*) = -18
Short 5800PE@ 21 (11*) = +10 (Closed)
Short 5850PE @15 (16*) = -1

*CMP.
P/L = -9 points. Will hold this position as long as NIFTY spot closes above 6100. :thumb:

 

[ananths]

Current status,

Long 5900PE @ 40 (22*) = -18
Short 5800PE@ 21 (11*) = +10 (Closed)
Short 5850PE @15 (16*) = -1

*CMP.
P/L = -9 points. Will hold this position as long as NIFTY spot closes above 6100. :thumb:

Closed the spread with a loss.

Long 5900PE @ 40 (8*) = -32
Short 5800PE@ 21 (11*) = +10
Short 5850PE @15 (6*) = +9

Net P/L = -13 points.

This month debit spread is not working....No more spread for november series. So this thread will be updated only next month!

All the best!

 

[gmt900]

The last week before Nov expiry has begun. Max Pain for nifty i @6200.
I have entered into long Butterfly trade as follows;
Sold 6200CE 70.50
6200PE 50.50
Bought 6300CE 25.00
6100PE 21.00
Max Profit 3,750
Max loss 1,250

Let's see how it goes. I may square off positions if there is a profit of @1,800 before expiry.

 

[TraderRavi]

This month debit spread is not working....No more spread for november series.

All the best!

wat could be the reason for this , have you analysed

 

[ananths]

wat could be the reason for this , have you analysed

Yes TR bhai...Low IV and wrong entry/exit caused this. Somehow did not manage it well. So taking a break from spread trade for this month. One reason not taking spread again this month is its just 2 weeks left for expiry and RR is bit high for the spread currently. Also doing some research on day/swing trading in Future. Right on time you opened swing trading thread. Will take some idea from there too..thanks..:thumb:

 

[pannalal]

Yes TR bhai...Low IV and wrong entry/exit caused this. Somehow did not manage it well. So taking a break from spread trade for this month. One reason not taking spread again this month is its just 2 weeks left for expiry and RR is bit high for the spread currently. Also doing some research on day/swing trading in Future. Right on time you opened swing trading thread. Will take some idea from there too..thanks..:thumb:

Ananthji,

In last few days, I have observed that if Nifty goes up (or down) at abnormal speed in first one hour, it continues to trends for the rest of the day in that direction. It is something like a car is moving at the speed of 120 km per hour. Now, if you want to take reverse, you need to bring it to neutral gear then only you can take reverse. However, this is just my observation and I never traded in Future. I invite views of other members. Just hoping that this observation may be useful for day traders.