Banknifty weekly options is the best source of consistent income for serious traders.
Selling options premium requires more capital than buying due to unlimited risk involved in selling.
If you are a trader,with sufficient amount of money to sell Banknifty options ,you will make consistent profits from markets.
Accuracy of selling Banknifty options trade setup is very high,as these are trades big financial institution take.
Ok so last week we have seen price increase in Banknifty futures contract.
Check the price change from below chart of Banknifty spot.
Banknifty spot chart is the underlying price chart.
And should be referred instead of futures chart while taking any trades in Banknifty.
In last week,Banknifty moved from 25999.45 to 26862.95 i.e 863 points increase.
Banknifty weekly options selling setup
As seller of Banknifty options,we are looking for those strike prices which are far from current price levels.
You need to pick strike price which is rare to reach by this week expiry date.
For example, if Banknifty normally moves 1000 points a week,you can pick a 1200 points away strike price.
Or you can use implied volatility data to pick the right strike price.
Our options selling calculator becomes useful for you to pick right strike price.
We have used our free option selling calculator and picked this weeks trade in Banknifty options.
See below how options calculator shows the right strike price for selling options.
No of day for expiry should be calculated from the present day till last day of expiry.
Day of expiry should also be included.
We have take 3 days for expiry.
Our calculator is showing 27400 CE and 26400 PE to sell for this weeks expiry.
Current price of 24700 CE is at Rs 43 and price of 26400 PE is Rs 56.85.
The best thing to do is, to sell strike price of call and put at same time.
We are not going to discuss about trade adjustments here.
If you are not aware of what to do if this trade goes against you,kindly don’t take this trade.
We teach this consistent weekly income strategy using Banknifty options in our premium stock market training course.
You too can use this Banknifty weekly options selling calculator for free from this link or you can go to the calculator page from resource menu at top.