Prediction based Trade 81: June 26-27- strategy for June 27

Refer to trade 81- purchase of 11 July 4200 put options at average price of Rs 171.50.

 

With dow down over 300 points and nasdaq down 77 points ( with 70 minutes of trade left in US market on june 26-today) and inflation worries in India, It is very likely market will open with negative bias.

 

 

Cards indicate that market wil be at its lowest ( hence put premium highest) in morning  or closing phase of the day on june 27 with sharp volatility possible in last 60-70 minutes of trade in Indian market on June 27, 2008

 

Hence exit in morning all Puts  if good premium ( over Rs 215)  is available ( by keeping a trailing stop loss of Rs 6)