iCharts Discussions

[svkum]

Dear SH,and,Vdilip.

yes, while keeping in view of cutting of lossy position in time, i have done following , considering 100 -200 fall in next 2-3 days,in nifty.
sold 4400 calls and sold 3900 puts.(OCT series)
requires review frequently.
S V KUMTHEKAR

[Stockhunter]

oops.. did I say 100 points fall is expected today when I was writing in here yesterday? we got 98 points fall today and I couldnt have asked for more could I?


Nifty continues to look weak and I am glad I squared off the 4200 put shorts at the right time yesterday. I am still bearish for this expiry and for October and clearly see the upside to be capped around 4450 levels which will be a hige resistance zone for Nifty .. so if you see 4400- 4450 levels anypoint soon... SHORT NF or 4500 calls without thinking twice (with appropriate SL offcourse )

No new positions entered today and just holding the bear put spread for October. Will open new positions in options after this expiry.

Cheers

[rameshraja]

Dear SH

You are rocking. Keep it up.

Regards

C T RAMESH RAJA

[Stockhunter]

25th SEPTEMBER 08 - Expiry day.

Nifty gave up all its gains yesterday (well almost all) which clearly indicates bears are still holding on and not losing grips. Also Nifty has been making inside bars for last two days (compared to Sep 19) reflecting that markets are entering into a low volatile zone after the fun n games we all saw last week. Today will be no different and we are in for a dud intraday session.

Expiry days are highly operator driven hence best to stay out of the markets today, my take is it will expire below 4200.

Cheers

[rameshraja]

Dear SH

Cheers.


C T R

[Stockhunter]

I remember some of my friends in SB were asking me in last week of August on whether I was bullish or bearish .. and my standard reply was " I am bullish for August expiry and Bearish for Sep " ... and ...this month did belong to the grizzly bear where from the highs of 4500 we saw the lows of 3800..... though the bulls can console from the fact that Nifty expired above 4100....

October is the month of quarterly results and in the last two quarters when the results came out (April & July) we had a nice bullish retracement making the bulls go partying thinking the worst is over... and I won't be surprised if that happens again this month... Ideally some of the EW students would want the third leg of retracement to be the last one and I hope for their wish to be fulfilled. One of a SMA I follow closely has started to slant up since last week which is not a good sign for bears....untill it slants back down again.

My Nifty bear put spread has moved into profit zone hence I have put the SLs at the entry points and will start trailing them.. time to be a cautious bear now in October !

Cheers

[Stockhunter]

26th Sep 08 - 1.35 PM

Nifty continues to break down as expected hence a good time to roll up the position.

Opening Position : 2 lots of 4200 PE long and 2 lots of 3800 puts short
Squared off 2 lots of 4200 PE at 268 (78 points profit)
Bought 4000 puts at 160

New position :
2 lots 4000 PE long at 160
2 lots 3800 PE short at 60 (original price)

Max loss = 10000
Max profit = 10000

EOD position : Carrying 2 lots of 4000 PE long and 3800 puts short
Realised P&L from the current trade = 7800
Realised P&L for this month = Rs 7200+7800= 15000
Realised P&L since start of the topic = Rs 15000

[Stockhunter]

The fate of US financial bailout deal will be sealed over the weekend and the analysts are talking about a bloodbath if the deal is not agreed upon and visa versa... will the deal go thorugh or not? I dont know the answer like any other trader reading this I am sure... and I dont care till the time my technical indicators keep me on the right side of the probabilities.

My NF shorts have given me good M2M till now and I have booked 50% today just to lighten my position before the make or break decision in US over the weekend. My technicals are still intact to see 3800 and probably 3400-3500 in medium term.

Coming back to options, I rolled up to lock in Rs 7800 profit. My new position is also running in profits now (gross of above 7800) and i will role out the entire position near 3800 and open fresh positions.

But that can only happen next week so signing off for this week.....

Cheers !

[Stockhunter]

29th Sep 08 - 12.30 PM

Markets have shed more than 3% today and Nifty spot has reached 3850 levels. This is the first lower target I had hence booking 50% of the positions. We can now have a technical bounce back so will short again above 4100 levels.

Opening Position : 2 lots of 4000 PE long and 2 lots of 3800 puts short

Squared off 2 lot of 4200 PE at 241 (81 point profit over and above 78 point profit we made earlier)
Squared off 2 lot of 3800 puts at 140 (hedged position, 80 point loss)

No positions left .. net profit of 78 points in overall positions.

Cheers

[mgowthamjain]

Cheerssssssss SH

[Stockhunter]

30th Sep 08

Bears are fighting to the helm and defending the 3800 levels... I believe 3400-3500 levels would be confirmed only when the market closes below 3800 levels for a couple of days.... in any case it was a good decision to stay out of NIFTY since any longers from last week would have had sleepless nights after what happened in USA and any shorters today would have been killed!

I created some long positions in some stocks in the morning for trading purposes like ICICI, Unitech, NIIT Tech, Wipro and LITL. Small positions which I plan to square off within this week as and when I get 10-15% returns(squared off ICICI today itself at 550 which gave me 10%)

Cheers

[mgowthamjain]

SH u rocks on ur levels


And we also long in RR sir's trading room in icici bank


and booked today it self


what a coincidence !


cheersssssss !

[Buzz22]

SH, i think u meant bulls are trying to defend 3800 and not bears

[Stockhunter]

Buzz - well spotted , yes I intended to write bulls but somehow with bears on my mind I ended up typing that.

MGO - Thanks boss. you rock as well with your NF levels....

ICICI trade was a 'rubberband' trade for me .... a contrarion setup that I play often against the current trend.

Cheers

[Stockhunter]

1st October 08

As per my post of 29th September 08, closing the short position proved to be a good move. The bounce back to 4100 levels is also gradually approaching. I was tempted to go long to play this bounce back but held it back on the side of caution... As i said earlier, I would rather short this market around 4100+ levels or at the first sign of weakness resuming.... till that time no option trading.

However my longs in stocks are working to some extent... after ICICI yesterday, LITL gave me 6% today (became greedy and squared off). Wipro is up 3% on eod basis. Unitech & NIIT still struggling but hoping for them to recover atleast 5%-10% from the current levels.

Cheers !