Wednesday 18 July 2012

FUTURE OPTION TIPS FOR 19 JULY 2012


BUY ICICI BANK 944 CALL OPTION@ 14TG 18,22,25 SL 9
BUY HINDUNILVR FUTURE ABOVE 450 TG 455, 461 SL 444

Saturday 14 July 2012

NIFTY STRANGLE STRATEGY

Market has been in very narrow range last week. We are expecting nifty to be volatile in this week. For coming sessions we recommend Nifty strangle strategy.options are cheap due to range bound sessions.The risk reward ratio in this strategy is very attractive.

LEG1: BUY NIFTY 5200 PUT @ 40
LEG2: BUY NIFTY 5300 CALL @ 30
COST =70            
 RISK PER LOT = 3500
RETURN = UNLIMITED
UPPER BREAK GIVEN POINT=5370
LOWER BREAK GIVEN POINT=5130
OUT LOOK  5-7 Days.

Monday 25 June 2012

CALL GIVEN OF SBIN IS ROCKING!!!

Our SBIN 2100 PUT Rocks!!  Two targets achieved in SBIN call given in our last post 

Friday 22 June 2012

FUTURE OPTION TIPS FOR 25 JUN 2012


BUY INDIA INFOLINE (DELIEVERY CASH) ABOVE 64 TG 70 ,74, 80
BUY R POWER FUTURE ABOVE 103 TG 105, 107, 109.
BUY SBIN 2100 PUT @15 TG 28 , 36,42

Wednesday 20 June 2012

FUTURE OPTION TIPS FOR 21 JUN 2012

TATASTEEL call given in our NIFTY TIPS made a high of Rs.13.40 today.
BUY NIFTY 5100 CALL ABOVE 75 TG `100 ,125, 140 SL 60

Tuesday 19 June 2012

Monday 18 June 2012

FUTURE OPTION TIPS FOR 19 JUN 2012


BUYTATASTEEL 420 CALL @ 9 TG  14, 17, 20

BUY NIFTY FUTURE ABOVE 5080  TG 5110 ,5140,5170 SL 5050 .

SELL CAIRN INDIA FUTURE BELOW 325 TG 315 SL 332

Wednesday 13 June 2012

Petronet Strangle Option Strategy

LEG1: BUY PETRONET 140 CALL @ 2.5
LEG2: BUY PETRONET 130 PUT @ 2.5
COST =5
LOT SIZE =2000       
 RISK PER LOT = 10000
RETURN = UNLIMITED

Read More For Pay off table.......

FUTURE VS OPTION


The main fundamental difference between  Future and option lies in the obligations they put on their buyers and sellers. An option gives the buyer the right, but not the obligation to buy or sell a certain asset at a specific price at any time during the life of the contract. A futures contract gives the buyer the obligation to purchase a specific asset, and the seller to sell and deliver that asset at a specific future date, unless the holder's position is closed prior to expiration.

Aside from commissions, an investor can enter into a futures contract with no upfront cost whereas buying an options position does require the payment of a     Premium. Compared to the absence of upfront costs of futures, the option premium can be seen as the fee paid for the privilege of not being obligated to buy the underlying in the event of an adverse shift in prices. The premium is the maximum that a purchaser of an option can lose.......

Thursday 7 June 2012

DLF STRANGLE STRATEGY

Market is eyeing RBI for rate cuts which can have major impact on interest rate sensitive stocks. Dlf has seen consolidation in charts. Betting on huge moves either side in this counter can give a good payoff. We recommend long strangle strategy in DLF with a week’s outlook

DLF STRANGLE STRATEGY
LEG1: BUY DLF 180  PUT @3
LEG2: BUY DLF 210 CALL @3
TOTAL RISK  =(3+3)*1000=6000
OUT LOOK  5-7 Days.