Nifty options buying has limited risk but unlimited profit potential, I am going to teach you a trading strategy that can easily multiply your trading capital (money). Before starting with this strategy you need to keep at least Rs. 1,00,000 in your trading account, so that you don’t have to risk much of your trading capital.
Now here first thing to do is start looking at the Nifty futures chart i.e. daily chart, in that chart just see in which direction the market is moving (up or down), If the market is trading sideways then there is no trade. Let us see when the market is up (forming higher tops and higher bottoms series), We will wait for a decent pullback of about 80 to 140 point to participate in that up move. Whenever that pullback happens, you will need to buy Nifty Call Option, now I am telling how to choose correct strike price for nifty options, just look at this example: If the nifty spot is 10400 then buy nifty 10600 call options i.e. out of money options. Set target as double of your buy price, stop loss half of your buy price.
Quantities to Buy/Sell:
That was all about buying, now let’s see how much quantities to buy; you will use 40% of your trading capital for buying this nifty option. So if you have Rs.1,00,000 in your trading account then you will buy nifty options worth Rs.40,000/- before trading with options remember trading options always involve high degree of risk, moreover it’s your hard earned money invest it wisely.
What if you don’t find such opportunities:
If you are unable to find any decent pullbacks in nifty future, then you can always look at its stocks. There’re 50 stocks in nifty, you can check the daily chart of few of those stocks and surely you will find one/two such stocks every month.
The golden rule of options trading lies in trading in the direction of a medium-term trend if you are buying, or look to go against the trend if you are writing options. Also, avoid overtrading, as many discounted brokers offer less brokerage.
About
hiii i want to know about nifty option and even want to get some news on this and even want to get some news which affect market
i do work only in nifty call puts and i hv .100000 amount in my account whts your monthly tips charge pakage any trial call ?
This nifty price is of which year friend? Update it. Nifty touched 9000 now railing at 7500 this 5500 is of which year?
Please, kindly enroll my mobile number for NIFTY levels/NIFTY Indices – Intraday, Futures & Options Tips Sir… Also, stocks in cash market for profit in Mid and Long term ranges tips if you can send me via sms please Sir! Somashekar – 76768600XX [email protected]
Great, thanks for sharing this post.Really thank you! Awesome.
Let us have a discussion some time around binary as well as what we could do to make it better for
anyone.
This is definitely one of the better options trading
sites I’ve read in ages.
Your approach to binary options is different than most of the different blogs
I go through, I am impressed.
if we are able to make even 1% everyday then portfolio will grow by more than 700% in a year. I am options trader myself, but have seen uncertain days where trading is not possible or lack of opportunities.
what is your portfolio size?
can we start with 30k as a beginner, then increase it later as and when necessary?
I am a bit confused on should i trade on options or stocks for intraday.
I have more than 1 lakh, but should i still stick to the 40% rule. or can we increase the allocation from the total capital?
I am purely bank nifty options trader.
Indian’s Top Stock Advisory company and SEBI registered Company. We are providing all the services stock market and commodity market.