Gold no longer a safe heaven – A major shift from precious metal to “Just a commodity”

Keep converting your useless physical Gold inventory to different asset classes or just cash

“The mind is its own place, and in itself can make a heaven of hell, a hell of heaven.”Nature created human and human destroying nature, that’s a bitter truth we are all living with . We often see documentaries, news articles, presentations or activities/movements to save nature , or just to spread awareness.“Mount Everest” – highest peak of Himalaya , once unconquered and considered invincible. One gentleman from New Zealand , Sir Edmund Percival Hillary reached the peak for the first time and opened the gate of a new destruction In ancient history, this precious metal , which was far from the reach of common people, was found only in possession of Emperors ....

FUTURE OPTION CALLS ON MOBILE

OPTION CALL PUT TIPS ON MOBILE

TO GET FREE OPTION CALL PUT TIPS ON MOBILE

CLICK HERE

PLS FILL  YOUR NAME AND MOBILE NUMBER IN FREE TRIAL FORM 

Rupee opens flat at 60.11 per dollar

The Indian rupee opened flat at 60.11 per dollar versus 60.13 yesterday. "The rupee could be weak on overnight dollar strengthening. The range for the day is seen between 60.10-60.40.Demand from oil importers and the much expected inflows for the HUL open offer led to rupee volatility yesterday. The rupee could be weak on overnight dollar strengthening.

NIFTY SHORT STRANGLE STRATEGY

SELL NIFTY 6000 PUT  @54

SELL NIFTY 6200 CALL @59

TOTAL RETURN=(54+59)*50= 5650

LOWER BREAK EVEN POINT=6141

HIGHER BREAK EVEN POINT=6054

OUTLOOK  FOR 7-9 DAYS

ADVANTAGES AND DISADVANTAGES OF ONLINE AND OFFLINE TRADING

The introduction of the Internet has surprisingly changed our way of life as a society. It has defined the way we do business and the way we correspond. The Internet has opened many opportunities for online trading. The financial industry revolves around the Internet. Every thing is just a few clicks away. This makes online trading most convenient. But there are still investors who prefer the old fashion way of offline trading and they mainly prefer offline trading for security reasons. Of course, online trading has many pros. There are several wonderful reasons to invest online and consider online trading.

1. Money saving opportunities
The amount of money you save depends primarily on the online brokerage firm that you choose. 2. Instant online access –One can gain instant access to your account, the value of your portfolio updates immediately before your eyes....

STRANGLE STRATEGY:CASH TIME

A short strangle gives  the obligation to buy the stock at strike price A and the obligation to sell the stock at strike price B if the options are assigned. You are predicting the stock price will remain somewhere between strike A and strike B, and the options you sell will expire worthless.

By selling two options, significantly increase the income you would have achieved from selling a put or a call alone. But that comes at a cost. There is  unlimited risk on the upside and substantial down. This strategy is only for the most advanced traders who like to live dangerously .

There are two break-even points:

·         Strike A minus the net credit received.

·         Strike B plus the net credit received.

PROFITS AND LOSSES IN THE STRATEGY:....

SBI STRANGLE STRATEGY ROCKS !!!!! BOOK PROFIT

Book profit in SBI strangle strategy given in last post. The net cost of strategy was 55,we have booked call around 59.85 today ,book SBI  2450 put @ 18 so net profit in strategy becomes around 20 . 

WHAT IS CALL OPTION

CALL OPTION

If you think a stock price is going to go up, then there are 3 trades that you can make to profit from a rising stock price: 

1. you can buy the stock
2. you can buy call options on the stock, or
3. you can write put options on the stock

Buying stock need huge capital investment plus your total capital is @ risk

Writing put option also need huge margin and risk associated with it is unlimited

Buying call option give u unlimited profit upside and limited risk downside.

Only enemy of call option is time so u should book your profits as early as possible.

Let’s understand using an example. Suppose, today’s date is 18-APR-2012 and you buy a RELIANCE CALL option (strike=800, EXPIRY  MAY 31) @ Rs. 20  per contract when RELIANCE stock was getting traded at 760. Let’s see what happens after options expiration.

Case I : Reliance stock price greater than the strike price. Reliance stock trading at 840on expiry day cut-off time

Net profit = (current price – strike price) - premium = (840–800 ) -20= Rs. 20 per contract

Case II : Reliance stock price less than strike price (800) on expiry day cut-off time

Net loss = Premium paid = Rs. 20 per contract

So when you buy a CALL option you have unlimited profit potential but limited risk or downside.