On 19 Nov 2020, when Nifty was at 12770, we had mentioned this
Is Nifty setting up for 13240
Nifty does the target today making a high of 13250.30
We observe the Nifty to be trading in a rising parallel up channel
Given the setup one may consider the following Short Strangle strategy in Nifty for 10 Dec expiry
Sell Nifty 10 Dec expiry 13050 Put option around 45 & Sell Nifty 10 Dec expiry 13400 Call Option around 35
Total profit potential in strategy 75*(45+35)= Rs 6000/-
Max Profit Yield potential 3.3% on Margin amount till 10 Dec 2020 Loss in strategy if Nifty closes above 13480 or below 12970 on 10 Dec 2020
Take care & safe trading...!!!
Disclaimer: - The view expressed here is my personal view - Past performance is not a guarantee for future predictions - Use this for educational purpose - Any decision you take, you need to take responsibility for the same - It's your hard earned money. Treat it wisely - Trade / Invest keeping in mind your trading style, goals and objectives, time horizon & risk tolerance - if trading in F&O, understand that F&O trading involves risk - Do take proper risk management measures - Do your own analysis and consult your financial adviser if need be
Nota
Nifty 13326
Strategy update
13400 Call option : 45 (recommended selling at 35)
13050 Put option : 18 (recommended selling at 45)
Total Net profit in strategy so far 75* (80-63) = Rs 1275/-
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