- Nifty has 20 day and 50 day EMA support around 14620-14650
- Resistance around recent high of 15044
Given the set up
One may consider a Short strangle strategy for 06 May expiry
Sell Nifty 14600 Put option around 100 15000 Call option around 82
Max profit potential in strategy Rs 13650 (approximately 8% on Margin requirement)
Loss in strategy only if Nifty closes below 14418 or above 15182 on 06 May 2021
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
Trade active
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Nifty CMP 14711 (Nifty is down by 90 points from the time idea was posted)
Strategy update 14600 Put option cmp 114 ( reco sell at 100) 15000 Call optoin cmp 51 ( reco sell at 82)
Net (100+82) - (114+51) = 182 - 165 = 17 points
Strategy is net profitable by Rs 1275/- per lot (17 points * 75 ) so far