Trade setup for 24th Jan

 A short straddle during low vix is dangerous. A short straddle during low vix and in a week where there is a holiday is very dangerous. A short straddle during low vix, in a week where there is a holiday and in the expiry week is very very dangerous. On Friday, there was a student of mine in my office and he wanted to take a short straddle trade in banknifty. I warned him and stopped him from taking it. Today morning he left a message thanking me. As I have always told, there is no good or bad strategy. Every strategy works or fails depending on the timing. 

Now both nifty and banknifty are above 20DMA. Banknifty is near 50DMA. Now the range for the nifty is 20DMA and 50 DMA. For tomorrow's expiry, 18k is a strong support. I have already sold decent quantity in 18k PE. Today If there is a gap like SGX says then I will be getting wonderful profit in that. I will add some hedge for tomorrow and leave it. Even in my yesterday's blog I did mention this and told that I will be selling 18k PE

To make use of the margin, I will sell some 18400 and 450 CE today if there is a 100+ gapup.

I did suggest a trade in kotak bank in my youtube video. I executed the same trade which I suggested in the video as there was no major movement in the stock yesterday after the fantastic results. It shot up close to 1% only.

Today you have a lot of results like maruti, TVs, united spirits. Axis bank numbers are also good. In this quarter, the numbers are good. But not many stocks are making a huge move. RIL, hdfc, kotak, infy,tcs. None of them made a great move after results. So you can assume that most of the numbers are in the price for this quarter. 

Zomato disables its 10min delivery. Do you need a IIM degree to figure that out. On day 1, I told that it is a flop product. Whatever, the founders have minted money. Its on the retailers now. So, who cares.

Now another IPO is coming to loot retailers. Mamaearth is coming with a valuation of nykaa. May god save all those who apply.

India has committed to help Sri Lanka in its debt restructuring. We have to, otherwise China will come.


  1. My algo has given a small loss for last 2 days. Yesterday it lost around 1%. For the month it is sitting with a profit of 15% 
  2. Will be selling 18k PE for tomo expiry.
  3. Most of my money is deployed. So no more fresh trades will be taken.
  1. US markets are rising and we are outperforming. Dow gained more than 300 points and closed by gaining 250 points.
  2. Nasdaq is back. The techs are rallying everyday. Tesla is now close to 140. I was waiting for it to come below 100 which did not happen. I don't think that will happen. I will be regretting this for a long time. Now I don't have the guts and courage to invest. I will miss it.
  3. Today the Asian markets are in the green. SGX is up by 100 points.
  1. Yesterday FII sold for 200+cr and DII bought for 400+cr
  1. $ at 81.5
  2. Crude at $88.2