Thursday 22 August 2013

Saturday 17 August 2013

RELIANCE STRANGLE STRATEGY

Buy Reliance 820 put  @ 15
Buy Reliance 840 call @ 15
Cost=30
Risk per lot =7500
Return=Unlimited
Upper break given point=870
Lower break given point=790
Pay off table....

Tuesday 13 August 2013

POSITION TRADING

POSITION TRADING: that trading method is used when the trader is going to make a decision within a given context or certain criteria while INTRADAY TRADING is strictly mechanical.
A Position Trader is going to hold his position for a long time frame from months to years. It’s really a safe way of investing with a relatively small amounts of capital.
DISADVANTAGE OF POSITION TRADING
Your trades might take months and the profits will only barely be able to cover your cost of overhead.
Day Trader:  This type of trader is more skilled and flexible as Intraday trading requires experience – lots of it – especially focusing on order entry techniques and a deep understanding of exit points as he is trying to make profits from a small change in prices with rapid trades during the trading day.
And usually he tries to close all his positions before the market closes and doesn’t leave any open positions overnight Intraday traders base their trades on strategies such as Swing trading, arbitrage, candlestick patterns and trend lines.....

Thursday 1 August 2013

CALENDAR OPTION SPREAD

The calendar spread refers to a family of spreads involving options of the same underlying stock, same strike prices, but different expiration months. They can be created with either all calls or all puts.  Also known as time spread or horizontal spread.
Call Calendar Spread
Using calls, the calendar spread strategy can be setup by buying long term calls and simultaneously writing an equal number of near-month at-the-money or slightly out-of-the-money calls of the same underlying security with the same strike price.
The idea behind the calendar spread is to sell time, which is why calendar spreads are also known as time spreads. The options trader hopes that price of the underlying remains unchanged at expiration of the near month options so that they expire worthless. As the time decay of near month options is at a faster rate than longer term options, his long term options still retain much of their value. The options trader can then either own the longer term calls for less or write some more calls and repeat the process....

Thursday 25 July 2013

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 ....

Wednesday 24 July 2013

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 

Friday 19 July 2013

TIME DECAY IN OPTION

The ratio of the change in an option's price to the decrease in time to expiration. Since options are wasting assets, their value declines over time. As an option approaches its expiry date without being in the money, its time value declines because the probability of that option being profitable is reduced. Time decay is a crucial component traders consider when deciding when/where to buy sell options.....

Wednesday 17 July 2013

IMPACT OF RISING DOLLAR ON ECONOMY

All eyes are on the rupee which has fallen in value against the US dollar. It has racked up macroeconomic issues concerning the slow economic growth, corporate earnings and market volatility. It is the common man who is going to hit the most.The falling rupee and the rising dollar can be translated into more expensive foreign holidays, educations or products. 

The Fast Moving Consumer Goods like soaps and shampoos require imported raw material. The cost pressure on companies will lead them to revise the prices of their products. The prices of pulses and oil which are largely imported are going to see a rise in prices....

Tuesday 16 July 2013

BANKING LICENSE:26 IN QUEUE

A banking license is a prerequisite for a financial institutionthat wants to provide  services. Under most jurisdictions the fundamental banking activities, such as taking deposits from the general public are exclusive to holders of a banking license. A non banking servicesis an institution that provides financial services without meeting the legal definition of a bank, such as holding a banking license
Licenses are typically issued by the banking regulatory body in which the bank is established. There is a relatively long and complicated procedure that goes into the application. This procedure will also depend on the type of bank license that you wish to apply for. Licensing is generally broken down into different categories, while each category has a different specialization, and a different time frame involved in the banking license application process....

SBIN OPTION STRATEGY UPDATE

Update of SBI strangle strategy given in post--- SBIN 1800 PUT BOOK PROFIT NEAR 49-50 .