NIFTY closed higher once again.
NIFTY gains on Friday did not hurt us but this 30 point gain was not good for our trades.
INFY was a loser on a strong day. TATASTEEL became strong after the initial weakness. SUNPHARMA simply ran away from us by rising about 4%. Only bright light was M&M but that was not enough.
The new trade suggested yesterday was BHARATFORG PUT 460. The price range suggested was Rs. 7.00-8.00. The lowest price for this option was Rs. 8.05 and this was one trade which actually did better than others. But as per my policy I am not considering this trade for P&L position.
The stock once again made the 52 week low yesterday. The weakness is confirmed. Only trouble is that it may move up with the general trend in the market before resuming the down move a few days later. Patience pays in such trades.
New Trades for the day :
BHARATFORG PUT 460 which could not be bought yesterday is again a choice today. The price range is now moved up to Rs. 8.00-9.00. Maximum risk is Rs. 10800.
ZEEL ( Zee Entertainment Enterprise Ltd ) is weak over 30 days and 7 day periods. The 52 week low for the stock is Rs. 410.60 on October 08, 2018. Current price is Rs. 451.65.
ZEEL PUT 420 @ Rs. 5.00-5.50 can turn out to be a good trade. Lot Size 1300, Maximum Risk Rs. 7150.
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.
Comments
Senthilnathan January 9, 2019 at 10:41 am
Good morning to all.
ReplyBought ZEEL 420 PE at 4.95
Tharik January 9, 2019 at 12:30 pm
Took CIPLA 500 PE @7 today. The stock is weak over 30 day as well as 7 days period. Looks like a good bet even now
ReplySenthilnathan January 9, 2019 at 12:42 pm
BHARATFORG today gave very good opportunity to enter in 460 PE trade..
ReplyHope many traders might have taken the trade..
It would be nice if the trades taken is updated here by the traders..
Ravi kumar January 9, 2019 at 10:11 pm
Deepwater, How can you say RIsk reward is 1:4 ?
ReplyDeepWater January 9, 2019 at 1:20 pm
Did Bear Put Spread on BharatForg Buy 460 put at 8.5 and sell 450 put at 5.9
Risk Reward is 1:4 is quite attractive.
Any views on this. ?
Replyadmin January 9, 2019 at 1:26 pm
It is a good trade for now. All the best. Let us wait till it comes into the money.
Cheers.
ReplyDeepWater January 9, 2019 at 1:25 pm
If any 1 has missed taking Infy earlier . Today it gives better opportunity .
Bought Infy 700 put at 12.80 with Buyback and special dividend on 11 Jan
Infy traditionally quotes buyback at 15%
Replyvishal agarwal January 9, 2019 at 9:42 pm
I guess you mean Call. Regarding buyback – Just like you are buying in anticipation of buyback its likely that lot of market partcipants are doing the same thereby baking the good news in the price already. Its a possibility that on actual news stock might not react positively beacuse those who bought earlier will like to book profits.
ReplyJust a view.
Ravi kumar January 9, 2019 at 10:13 pm
When TCS announced buyback recently, the stock made lows from next day on wards till buyback..
ReplyJust a observation
Chethan January 9, 2019 at 2:42 pm
Bought ZEEL 440PE @ 7.9
ReplyInfy 700CE @11.75
Senthilnathan January 9, 2019 at 3:00 pm
ZEEL is one of the most volatile stocks..your Put is most likely to become profitable..let us see what the market decides.
ReplyApurv Adarsh January 9, 2019 at 4:02 pm
Sir,
Does Bajaj finance fit your criteria?
I can see bearishness in both monthly and weekly chart.
Please check and advice on the same.
Reply