Took a position in banknifty @22200

 I was waiting for the right time to invest in the banknifty my target price was 22800 but I failed to take the position at the 22800 price, Now as the price came down a little more I took the position at 22200. I purchased the sbi banknifty etf for that.

Is it a good price to purchase banknifty 

I am a long term investor and I feel that the banking sector is already at a discount price and probably it would be a great time for me to take a position. As I will be selling the covered calls , I needed the portfolio for that and hence this is the price I feel will be good to take the position.

I have invested just 60000 Rs for now and if the price falls more I will try to average out the price and when I have almost invested the 3 Lakhs and 50 Thousand amount I will be selling the calls for the higher price.

This is the good time to build the portfolio as the banking sector still looks downtrend from the past few days and as no one can time the market it is good to take small positions at each fall.

Can banknifty reach 26000 price

In the recent up move the banknifty crossed the 25000 price , I believe it can always reach 26000 price , one cannot predict the market it can just take the decisions based on the movements.

I will target the 26000 while selling the calls this time, as they will be covered calls It will be a good price to sell the calls for me.

Other investment strategies

Because of the new margin rules the pledging and unpledging of the stocks are going to take place but to avoid this and to have enough margins I will accumulate the liquid funds and I will pledge them to get the margin from them , this way I will be having enough margins to trade the options and futures.

Probably I will be opening an account in the zerodha as well, I came to know that they have the system where one can pledge the mutual funds as well.

Meanwhile I am exploring other ways also and I will share whatever I finds out.

10 September banknifty expiry plan

I feel the banknifty will remain the downtrend for some time and may expire between 21800 to 22600 on 10 Sep 2020 expiry. As I have not taken any option position I am just focusing on building the portfolio of the ETF's and this time I wont do the mistake of selling the naked calls as I did last time and ended up in loss.

The stock market is full of risks and all the trades and investments should be handled very carefully and one should be ready with entry and exit plans in advance and should be prepared for the worst case scenario.