Benefits of trading in Nifty futures and Nifty options

I have been a lot busy to write research articles on Nifty future and nifty options, but today I am sharing why should a trader trade in nifty futures and options. About 75% of the total turnover in NSE F&O market comes because of Nifty (that’s a huge volume). Nifty futures and options has highly liquid contracts and it is less volatile compared to stocks, also trading in Nifty futures and ... [Continue Reading]

Markets in strong uptrend, Buy Nifty Future on every fall

In the month of September 2013, after the nomination of Shri. Narendra modi as BJP's PM candidate we have seen markets getting stronger. Market participants started expecting NDA will form govt at center. As the the exit polls were out, we saw markets creating new all time high, ahead of actual results. On the day of results declaration, we saw nifty touching all time high of 7600, but in last few ... [Continue Reading]

How nifty bottomed out in Feb, trade idea using India VIX

India VIX corelation with Nifty

There is a strong inverse co relation between nifty future and the India vix index (volatility index). We have seen that, when the nifty has stated to fall the vix was rising, as most nifty option writers were of a view that there are chances that nifty reverse its move soon, so the volatility was increasing and not decreasing. Volatility has always remained high before the major economic ... [Continue Reading]

Nifty future faces resistance at 6333, Sell on Bounce

Nifty future on daily chart was seen testing the all time high level of 6333 many times, but every time it was rejected from that area. This gives us an idea that, market participants are not seeing fresh all time high any time soon. So we have seen, selling at those higher levels in nifty as well as in bank nifty futures. Banking and real estate stocks were the major dragsters in this sell off. ... [Continue Reading]

Nifty future: Trading the last day of Month, Week and Year

As the year 2013 has ended, there were traders on the floor who were making their last smart move on the last trading session of the year. Those people are called "Professional traders". So if you didn't knew the importance of the that last trading session, you have missed one of the finest trading opportunity. But still its not so late to prepare yourself for a great trading idea in 2014. Why is ... [Continue Reading]

How to read India VIX and Trade volatility in Nifty

In India, markets have seen significant increase in the volatility index. We have VIX in NSE, which have recently been inching towards 20. Let us see in detail how VIX is used in trading nifty future. Few traders are using VIX to see the correct direction of Nifty future and also find the correct and most probable reversal point. VIX also defines the risk for the nifty positional traders and also ... [Continue Reading]