August 2018 — Options Buying Once Again

This was NIFTY yesterday. NIFTY opened at a new record high and then gave up. Ultimately ended up flat with a gain of 2 points.

For us, it was not a good day. It flattered to deceive. At one point things were going well. Calls were gaining as well as Puts were also doing nicely. Metal sector went up initially, came down and went again. That made HINDALCO put go wrong.

Similar trends happened in almost every stock.

The new trade added yesterday BIOCON 540 PUT at Rs. 8.00 closed the day at Rs. 8.70.

Both the PUT BUYER and CALL BUYER charts are losing more. We need a strong favorable move at least in 2-3 stocks now.

PUT BUYER :

CALL BUYER :

It may take another day of consolidation before a breakout in either direction ( we keep on guessing ) . Let us not venture into more trades yet. We shall stay in the present trades and expect them to do well.

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.

Comments

amit August 8, 2018 at 8:53 am

upl put 540 at 8.7 some thing wrong type sir

admin August 8, 2018 at 9:09 am

Corrected the post. It is BIOCON.
Reply

Ross August 8, 2018 at 8:56 am

Did you mean UPL or BIOCON ?

admin August 8, 2018 at 9:09 am

Corrected the post. It is BIOCON.
Reply

Rohit August 8, 2018 at 8:57 am

Minor correction Pramod sir,

You wrote UPL as yesterday’s Trade, but you had suggested Biocon

admin August 8, 2018 at 9:10 am

Corrected. It is BIOCON.
Reply

Vijay August 8, 2018 at 8:59 am

Sir, We bought BIOCON yesterday. I see you have mentioned UPL. Please review

admin August 8, 2018 at 9:08 am

It is BIOCON. Corrected the post.
Reply

Mahesh August 8, 2018 at 9:00 am

Sir UPL strike price is that correct?

admin August 8, 2018 at 9:07 am

Corrected the post. It was BIOCON 540 PUT.
Reply

Parth Master August 8, 2018 at 9:03 am

sir, didn’t you suggest biocon?

admin August 8, 2018 at 9:07 am

Corrected the post. It was BIOCON 540 PUT.
Reply

Ravi kumar August 8, 2018 at 9:09 am

Sir , new put trade was biocon and not UPL..

Ravi Kumar

admin August 8, 2018 at 9:10 am

Corrected. it is BIOCON.
Reply

Rohit Shourya August 8, 2018 at 10:30 am

Pramod sir,
The above posts just show how eagerly closely people are following this blog.

Ravi Kumar August 8, 2018 at 3:53 pm

Hi,

I attended the workshop. My say is, Recorded content cant replace the live workshop… Plan on to attend next one to get max benifit

Thanks
Ravi Kumar
Reply
- admin August 8, 2018 at 9:29 pm
  
  Rightly said Ravi. Personal interaction is the key to learning.
  Cheers.
  Reply

Abhinav August 8, 2018 at 11:38 am

Sir,

I have observed that too many people want to attend your sessions but could not due to one reason or the other. I am also amongst those.
Any plans to provide those sessions as video series where in we can buy the same. Maybe you can record the entire session at a particular venue and upload it on youtube as paid content.

tharik azees August 8, 2018 at 12:24 pm

Market is testing the patience of bears big time now.. It is very hard to be patient in losing trades but that is the only way to achieve success is what I believe now

Girish August 8, 2018 at 1:52 pm

Hi Pramod,

RELCAPITAL 370 Put is deep OTM (~17% away from strike). I did not enter it on 3rd Aug, I was just watching. I am assuming it doesn’t make sense to enter in it now.

What do you think about entering at a higher strike, something like 400 PUT @premium of 9? Does that make sense? Or this should be ignored altogether looking at the rally this stock has undertaken in past one month?

PS: I have traded in all your recommendation (PUT and CALLS both), that’s how much we trust your teachings.

Girish August 8, 2018 at 2:54 pm

Hi Pramod,

RELCAPITAl PUT 370 is OTM (around 17% away from strike). I am assuming it doesn’t make sense to enter it now – I was watching it since 3rd Aug when you recommended this option.

What do you think about 400 PUT @9? Does the premium strike combination looks good to enter now or it is overvalued at this point?

PS1: Apart from RELCAPITAL I am pretty much invested in each and every other trade (both CALL and PUT) in Aug series.

PS2: Wanted to thank you for teaching us how to trade in options, before this I have never traded in options. Your strategy is simple to understand and follow.

admin August 9, 2018 at 6:42 am

Well, trades go wrong at times. 10% away strike is no big deal for a volatile stock. A big move can happen any time. The move can be against us as well.
Confidence in my teaching is fine. I am thankful for that. More important than that is the belief that our method is right. We should not be discarding it with a few failures. Have the confidence in yourself.
Cheers.
Reply

sunil kumar verma August 8, 2018 at 7:24 pm

Yes sir, Please provide the training videos as paid content at this blog or anywhere else. We are waiting for your reply thanks.

admin August 8, 2018 at 9:27 pm

I had started these sessions when someone had asked on Quora– ” I have read about options trading online and watched videos on YouTube but could not understand anything.”
Personal interactions during the program are the key to learning.
Cheers.
Reply

Manas August 8, 2018 at 8:28 pm

Can you please update PL based on today’s closing price.

It is taken on price of 2 days earlier.

admin August 8, 2018 at 9:22 pm

Will be updated in tomorrow’s post.
Cheers.
Reply

Mani August 8, 2018 at 10:27 pm

RCOM jumped more than 40% in the last 2 weeks. What do you think about CALL 22.5 or 25 sir?

admin August 9, 2018 at 6:36 am

I am not trading in stock options which are in the compulsory physical settlement list
Otherwise 22.5 call would be appropriate. Considering the volatile nature of the stock, the trade has equal chance of success or failure.
Cheers.
Reply

amit August 8, 2018 at 8:53 am

upl put 540 at 8.7 some thing wrong type sir
- admin August 8, 2018 at 9:09 am
  
  Corrected the post. It is BIOCON.
Ross August 8, 2018 at 8:56 am

Did you mean UPL or BIOCON ?
- admin August 8, 2018 at 9:09 am
  
  Corrected the post. It is BIOCON.
Rohit August 8, 2018 at 8:57 am

Minor correction Pramod sir,

You wrote UPL as yesterday’s Trade, but you had suggested Biocon
- admin August 8, 2018 at 9:10 am
  
  Corrected. It is BIOCON.
Vijay August 8, 2018 at 8:59 am

Sir, We bought BIOCON yesterday. I see you have mentioned UPL. Please review
- admin August 8, 2018 at 9:08 am
  
  It is BIOCON. Corrected the post.
Mahesh August 8, 2018 at 9:00 am

Sir UPL strike price is that correct?
- admin August 8, 2018 at 9:07 am
  
  Corrected the post. It was BIOCON 540 PUT.
Parth Master August 8, 2018 at 9:03 am

sir, didn’t you suggest biocon?
- admin August 8, 2018 at 9:07 am
  
  Corrected the post. It was BIOCON 540 PUT.
Ravi kumar August 8, 2018 at 9:09 am

Sir , new put trade was biocon and not UPL..

Ravi Kumar
- admin August 8, 2018 at 9:10 am
  
  Corrected. it is BIOCON.
Rohit Shourya August 8, 2018 at 10:30 am

Pramod sir,
The above posts just show how eagerly closely people are following this blog.
- Ravi Kumar August 8, 2018 at 3:53 pm
  
  Hi,
  
  I attended the workshop. My say is, Recorded content cant replace the live workshop… Plan on to attend next one to get max benifit
  
  Thanks
  Ravi Kumar
  - admin August 8, 2018 at 9:29 pm
    
    Rightly said Ravi. Personal interaction is the key to learning.
    Cheers.
Abhinav August 8, 2018 at 11:38 am

Sir,

I have observed that too many people want to attend your sessions but could not due to one reason or the other. I am also amongst those.
Any plans to provide those sessions as video series where in we can buy the same. Maybe you can record the entire session at a particular venue and upload it on youtube as paid content.
tharik azees August 8, 2018 at 12:24 pm

Market is testing the patience of bears big time now.. It is very hard to be patient in losing trades but that is the only way to achieve success is what I believe now
Girish August 8, 2018 at 1:52 pm

Hi Pramod,

RELCAPITAL 370 Put is deep OTM (~17% away from strike). I did not enter it on 3rd Aug, I was just watching. I am assuming it doesn’t make sense to enter in it now.

What do you think about entering at a higher strike, something like 400 PUT @premium of 9? Does that make sense? Or this should be ignored altogether looking at the rally this stock has undertaken in past one month?

PS: I have traded in all your recommendation (PUT and CALLS both), that’s how much we trust your teachings.
Girish August 8, 2018 at 2:54 pm

Hi Pramod,

RELCAPITAl PUT 370 is OTM (around 17% away from strike). I am assuming it doesn’t make sense to enter it now – I was watching it since 3rd Aug when you recommended this option.

What do you think about 400 PUT @9? Does the premium strike combination looks good to enter now or it is overvalued at this point?

PS1: Apart from RELCAPITAL I am pretty much invested in each and every other trade (both CALL and PUT) in Aug series.

PS2: Wanted to thank you for teaching us how to trade in options, before this I have never traded in options. Your strategy is simple to understand and follow.
- admin August 9, 2018 at 6:42 am
  
  Well, trades go wrong at times. 10% away strike is no big deal for a volatile stock. A big move can happen any time. The move can be against us as well.
  Confidence in my teaching is fine. I am thankful for that. More important than that is the belief that our method is right. We should not be discarding it with a few failures. Have the confidence in yourself.
  Cheers.
sunil kumar verma August 8, 2018 at 7:24 pm

Yes sir, Please provide the training videos as paid content at this blog or anywhere else. We are waiting for your reply thanks.
- admin August 8, 2018 at 9:27 pm
  
  I had started these sessions when someone had asked on Quora– ” I have read about options trading online and watched videos on YouTube but could not understand anything.”
  Personal interactions during the program are the key to learning.
  Cheers.
Manas August 8, 2018 at 8:28 pm

Can you please update PL based on today’s closing price.

It is taken on price of 2 days earlier.
- admin August 8, 2018 at 9:22 pm
  
  Will be updated in tomorrow’s post.
  Cheers.
Mani August 8, 2018 at 10:27 pm

RCOM jumped more than 40% in the last 2 weeks. What do you think about CALL 22.5 or 25 sir?
- admin August 9, 2018 at 6:36 am
  
  I am not trading in stock options which are in the compulsory physical settlement list
  Otherwise 22.5 call would be appropriate. Considering the volatile nature of the stock, the trade has equal chance of success or failure.
  Cheers.

share