iCharts Discussions

[svkum]

SH
Till bull rally in bear mkt is in motion , i tried covered call strategy , and that has paid the results .
Was long in RCOM at 320 ,2 times ,and squared this at 342, and 354 respectively .
At the time of entring the trade sold 360 call at 12.
will again see the opportunity for entry.
Here my mental SL is 12 rs. which will guide me to control the losses.

S V KUMTHEKAR

[mkdeep]

hi SH

holding 4000ca x 2 and 3900 put x 2

from friday just before closing

pls let me know u r comments

mk

[Stockhunter]

Hi MK,

you say you hold these options... not made clear if you have bought these or sold these?

If you have bought them, you would have paid 98 points for calls and 186 for puts approximately which comes out to be approx 284 points. Hence your strategy has a breakeven of 4300 on the upside and 3600 on the downside... i.e you will lose if Nifty stays in this range .... not a good strategy i would say.

If you have sold these, then you would be in profit if Nifty expires in this range... I think this can give you good returns but its too early to short options in my view.

Cheers

[Stockhunter]

8th October 08

As per my post on 30th September, my positional targets of 3400 - 3500 were met today and I squared off my positional NF shorts that I held since start of this series.... fantastic profits ! Couldnt pyramid since NF didnt retrace to 4100 levels as i was expecting.. but i cant complain with 560 points profit.

Now I am looking at NF at 3700 - 3800 levels hence opened swing longs for these levels. moved in good profits intraday.

Also bought 3500 Calls at 147 today.. sitting on good profits. Will square off and buy puts around 3700 levels.

By the way, I have started buying some select stocks gradually which are selling at good valuations like ICICI, Reliance and HUL. Plan is to buy them in 6 equal monthly instalments so dont mind buying them cheaper in coming months though hope to buy them at higher prices every month

Cheers!

[Stockhunter]

Phew... what turbulence.... anyways, as per my post on 8th October, my expected levels of 3700 came on NF today. My swing longs opened on 8th at 3413 on NF moved into cool profits and I booked them at 3655 levels .... though i must admit it was tough to hold swing longs when NF was dropping like a dead whale on Friday and reached 3200 levels.. but since markets were so damn oversold it would have been foolish to sell at such lower levels!

In the end ... TA won, fear lost !

I still feel there is upside left to the tune of 3800-3850 this month hence shorted 2 lots of 3900 calls today at 74 each at the same time while squaring off NF longs. The calls fell to 30 intraday and I booked profits on them too... Will short 3900 calls again as and when NIfty moves back to 3700-3800 levels....

Overall a good start to the week for my ledger

Cheers

[pradyehv]

3500 C was a nice trade SH . Great going. Do keep sharing.

[Stockhunter]

Thanks Predy.

Yes forgot to mention about those calls... I squared them off today as well itself since it was giving around 30% returns on investments...

Cheers

[Stockhunter]

In my last post on 14th October I had squared off all my long holdings (NF, Calls) and was waiting for 3700-3800 levels to come so that I can go short. Unfortunately before 3700 we saw 3000 hence I couldnt open any shorts and stayed on the sidelines.

Markets have been in an oversold position since last week hence going short was not wise in any case. Market, logically shouold bounce back from here to 3400-3500 but I have decided to play safe and not open any swing positions till volatility comes back to normal.

Intraday swings are giving enough opportunities to make money hence have been going long/short intraday and closing positions before EOD.

By the way, as my earlier post I have started accumulating good stocks that have already given up 75% and more with a 2 year or 150% profit whatever comes first horizon (JP Associate, Unitech & ICICI Bank)

Cheers

[Stockhunter]

Is the worst over... I am not sure yet .... however the juicy bounce back from 2300 to 3050 has been a typical bear market rally giving good returns on my longs since 2700 levels.. I have booked all my NF longs however still holding long positions in certain stocks.... the Index has reverted back to the mean and now it will be important to see when Nifty breaks down again and make a lower low or does it make a higher low this time for a change......

Levels for which I am waiting for to short are 3150 or the first red candle on EOD whatever comes first.....

By the way .. Unitech at 30 was a steal and it was a great killing for me to go long at 32 and square off at 51 ...

Cheers

[Stockhunter]

3150 came yesterday and I shorted NF at 3160, also wrote some out of money calls which have moved in handsome profits today and i booked them with no time wasted as the day drew to a close.

During the day , I also bought some Reliance Puts (1200 put @ 56) and Nifty puts (3000 put @ 156) which are literally free for me as bought them out of NF profits. Shorted NF as well but very light since already had heavy positions in puts.

Nifty spot and NF both have given a big bearish engulfind candle today which indicates more downside is possible. However weekly oscillators appear to be up.

Cheers

[Stockhunter]

Good day today, Reliance & Nifty puts along with NF shorts moved into good profits today. Booked 3000 puts at 265 (bought at 156 yesterday) and bought fresh 2800 puts at 140. Booked Reliance Puts at 110 (bought at 56 yesterday) but did not open fresh shorts since RIL closed at an imprtant level from which it can retrace. If it opens weak tomorrow as well i will think of opening new shorts in it.

With NF shorts, it was beautiful intraday swings today and I was able to do 4 intraday trades (2 longs & 2 shorts) with very good profits. Still ended up holding the shorts with average price now at 3300.

For positionals...crucial levels for Nifty now are 2780 & 2670 .. I plan to book 50% and 2780 .. and rest at 2670 OR square off if NIfty starts to move up and crosses 3170.

Till 3170 is crossed, I will keep playing intraday longs and take my average for shorts further up.

Cheers

[Stockhunter]

Forgot to add .. if Nifty slips below 2670 and closes below it .... I will reopen positional shorts .... as we should then retest the recent lows or probably go much below it before we can have a rebound again.

Happy trading !

[pradyehv]

Hello SH,
not doing any intra option writing nowadays? please do share.

Prad

[Stockhunter]

Prad - The markets have been so volatile I have been busy making money by buying/selling options and futures. I have done some writing but only as covered writing... no naked writing.

I would rather wait for the volatalities to come down before starting naked option writing again.

Cheers

[Stockhunter]

Good day again today for intraday longs which took my short positions up to the average of 3385...


NF and NS are very close to 3170 .. the levels at which I said I will book my shorts and open longs. I booked 50% of the shorts today and added some 3400 calls in my portfolio for 55 each. This is because, I firmly believe, that if NIfty closes above 3170 levels tomorrow... we will definitely see 3400 calls going in the money .. I will assess my longs once we get close to 3400. HOwever a slip below 3170 again will mean booking longs and opening shorts again.

On weekly, we have retraced 38.2% hence 3170 levels become more crucial now.....

Cheers