Nifty moved up very smartly throughout the day. Jitters of previous day were put aside and there was a sure footed up move.
This move takes NIFTY to 11570 level and from here all time high of 11760 is within a handshake distance.
This kind of move was bound to be bad for us as we had many PUT trades. Fortunately YESBANK participated in the rally and CALL 260 came really good today. Kept waiting with this as this stock makes abrupt up moves after moving down slightly. The wait was tense but rewarding.
Same can not be said of the other trades. MARUTI PUT 6700 was sold at Rs. 150 to book some profit. We had seen it at above Rs. 200 two days back. Well, the loss of profit in this trade was made good by YESBANK.
HEROMOTOCO trade was closed at Rs. 6.00 as suggested yesterday.
Booked a small profit in LUPIN when it was going right thinking that I would wait with BHARTIARTL which became worthless.
It is how the month ended.
Time to move over to April Expiry and Month Number 12 in our Option Buying Journey.
First Trades for April :
Automobile Sector is the laggard. Hero Motors made new 52 week low even yesterday in a strong market. It is another matter that we could not make money in that trade.
Let us change our vehicle of trade and try to steer TATAMOTORS southwards.
PUT 160 @ Rs. 3.20-3.60 is my choice for a trade. Max Risk Rs. 7200, Lot Size 2000.
Another weak stock which meets the 30 day and 7 day criteria is TATASTEEL.
I will go for PUT 480 @ Rs. 5.80 -6.00. Lot Size 1061 Max Risk Rs. 6366.
This month also gives us 18 trading days to get our trades right with holidays on April 17 and 19.
Trade cautiously, trade profitably.
Disclaimer: This post and examples are for teaching purpose only and are not meant as advice/suggestion to trade in these stocks. Trading in Futures and Options can lead to big losses and should be done with appropriate knowledge and advice only. Mentioning the stocks here does not imply that I have a trading position or likely to take a trade in these stocks.