NIFTY went above 10400 , made a new high at 10427.65 and ended the day at 11387.10. So 10427.65 is the latest high, which may be taken out very soon or may stay for some time.

NIFTY going up did not help our CALL selections much.

GAIL made a new 52 week high and then started sliding down. It ended up as the biggest NIFTY loser for the day. All the strength exhibited over previous few days fizzled out in a single session. For us the trade turned from a profitable trade to a losing one. That is option trading. One minute you are counting your likely profits and very soon wondering where it all went.

L&TFH did something similar. From a high of Rs. 183.50 it came down to end up negative for the day.

Only YESBANK did well.

IBULHSGF also performed like GAIL. From a profit it slid back into a loss.

This is the chart for CALL BUYER :

We stay with the trades.


No one can ever understand the market behaviour. The PUTS were doing well when NIFTY was up by 50-60 points. When NIFTY came down, PUT prices went lower because our stocks went higher namely HEROMOTOCO, RELCAPITAL and HINDALCO.

TATAMOTORS was the one that did well in the last one hour and I have high hopes from that option.

Let us have a look at the not so pretty picture :

With market likely to open flat and likely to consolidate, there is a chance that PUTS will do better today.

New Trades :


BIOCON has lost out more than 8% in last 30 days while NIFTY gained 5.73%. That establishes it as a weak stock currently. It was moving within a range over last 3-4 days but moved down yesterday. I take it as a further sign of weakness.

Current price is Rs. 573.55.

Recent low was Rs. 543. 30 on July Expiry day. With a slight correction in NIFTY, we may see BIOCON below that level.

PUT 540 at Rs. 8.00 ( 7.70- 8.50 ) would be my choice. With a Lot Size of 900, maximum risk is Rs. 7200.


For today, I am not suggesting any CALL.

Let us wait and watch.

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.