Trade setup of the expiry day

Yesterday was another wonderful day. Nifty broke 11700, 11800 and closed at 11844. Banknifty gained and closed at 29987. The man of the match is SBI, GAIL, TCS. Now everyone is hitting all time high.ICICI bank, maruti, HUL all nearing or at all time high. Few weeks back there was a fear of recession. Now all expecting 13,000 by 2020. The markets are in the hands of a raging bull. I won't be surprised if we break 12000 by November. I would say every dip should be bought. M&M had a wonderful dhanteras sale.

  1. Have you seen a fool who will short in a bull market. Yes, thats me. I thought markets would correct some, but that didn't happen. 
  2. I sold M&M, vedl, ITC in futures market. But luckily it was only 1 lot each on muhrat day.
  3. Day before yesterday I converted that to covered put and bought calls. Now I have a large bandwidth to be in profit. But this was unwanted trade. I wish I had not sold the futures. Sometimes it happens.
    So the moral is 
    1. Expect uncertainties as you are always wrong.
    2.  Keep your position small. Since it was only 1 lot, I did'nt panic. 
    3. Never go against the market.
  4. Today is expiry and I initiated few butterfly's yesterday.
  5. My intraday cum positional trade setup scanner and screener is ready. Will be sharing a google doc with that everyday and will do paper trade for a month to see its performance. 
  1. Yesterday the fed cut rates by 0.25% fearing global economic slowdown. Nasdaq closed in positive and gains 0.3%
  2. European markets were mixed. FTSE and CAC were in green and DAX closed in red due to Deutsche bank results
  3. Today morning the asian markets are in green and SGX suggests that we may open in green.
  1. Yesterday was a superb day by FII. They bought for 7000 cr including the HDFC life sale which accounts for 5000cr
  2. DII have sold 185cr.
  1. Nifty has the highest OI at 12000ce and 11800pe. 
  2. Banknifty has highest OI at 30500ce and 29500pe.
  3. Nifty may range from 11750 to 11900
  4. Banknifty may range from 30300 to 39700
  5. Forget maxpain for today. In these markets, maxpain theory wont work.