Today I took a position for the September month expiry for the banknifty. I always prefer to trade on banknifty because of the two important things 1. It is index ,2. It is quite stable comparing it to the stock.
Strategy I followed
I have the SBI Nifty Bank ETF in my portfolio and I sold the call option of 24500 at 100rs premium. Total premium received is 2500 Rs.
View on Bank Nifty for September expiry
Because of the pandemic , I still feel that the banknifty may under perform for few time as a result I will be selling little far OTM calls for the same. If the call will expire OTM I will use that premium money to buy more ETF of the SBI nifty bank.
Target on BankNifty
I have money related target for the banknifty, as my total investment is around 3 Lakhs and 50 Thousand , I will be following the same strategy till I achieve the amount of around 6 Lakhs . I will also try to book profit from the portfolio and will try to reinvest if I get the opportunity to buy on the low values but if the price keeps on increasing I may go for the Bharat bond to park my money.
Why I am not trading on NIFTY
I feel a little bit more comfortable in Bank NIfty , but I wont be just limited to this , with time when my portfolio size will increase I will move to the nifty as well and also further to the stocks specific as well.
I am planning to go slow with this. As the people say Rome was not built in a day. I will take tiny steps and will try to book small profits while taking the small loses.
What else I am planning
I have another portfolio of the mix stocks of around 80 Thousand Rupees value. I am trying to book tiny profits from it as well while buying only Kotak Nifty ETF. I will be trying the covered call strategy in this as well when it will grow, also I try to invest around 4000 to 5000 Rs per month. I am building portfolios with the index funds and will keep on buying the stocks on dips.
Soon I will start sharing the screen shots of the trades I take to give more clear view on my thinking and idea.
No comments:
Post a Comment