buy nifty put of 5100 strike price of january series and alternately sell nifty put of 5000 series total difference is 25 points .
the total cost will be 25 points ,
as the nifty will move towards 5000 5050 the difference will become bigger that will be the profit
and if the nifty moves higher towards 5300 the difference will become less .and that will be our loss .
in this type of trade profit and loss are limited .maximum loss will be the total premium paid that is 25 points.and the maximum profit will be 100 points which is the difference of strike prices in which we trade.this trades are not much affected by time decay because we have bought and alternately sold options .one thing is sure shot chances of making profit in these types of trades are nearly 85/90 %
sell nifty 5300 call of december series at 48 50 now and alternately buy 5200 call at 86 88 now total premium paid will be 40 points..add these to ur trades done yesterday now we have total input of 25 points. we will make profit if the market goes up .
we r starting fresh trades today sel nifty 5100 put december series and alternately buy nifty 4900 put december series keep the lots same ,by doing this trade we wi recieve a premium of around 65 points.we will make profit if the difference between the two puts reduces and stays below 65 ,this will happen if the market moves up further.
pls carry on the trades we will review on 7 th
yaa it happens many times whenever we take a position nifty just does the opposite . we are in a loss of some 50 points total with our trades .i am confident of my trade and i can tell you we will make profit just square of your nifty put 5000 if the price touches our stoploss of 52 and carry rest positions .
buy nifty put of 5000 strike price around 85 with strict stop of 52 and target of 120 ,145 in 3 trading sessions maximum. add these to our trades we are holding .