Table of Contents
How do you calculate support and resistance of Nifty?
First level support and resistance:
- First resistance (R1) = (2 x PP) – Low. First support (S1) = (2 x PP) – High.
- Second resistance (R2) = PP + (High – Low) Second support (S2) = PP – (High – Low)
- Third resistance (R3) = High + 2(PP – Low) Third support (S3) = Low – 2(High – PP)
How do you read Nifty trends?
Using Simple Moving Average as Nifty Trend Finder The simplest way to identify the direction of Nifty is to use a simple moving average. We provide an end of day chart below. On the chart, there is a red line, which is 5-day simple moving average. If the close of Nifty is above the 5-day SMA the short term trend is UP.
What is today’s Nifty level?
How do you trade with support and resistance?
The basic trading method for using support and resistance is to buy near support in uptrends or the parts of ranges or chart patterns where prices are moving up and to sell/sell short near resistance in downtrends or the parts of ranges and chart patterns where prices are moving down.
How many lots can we buy in Nifty?
There is No Limit to trade Nifty Options lots in the market as Anu K mentioned below. You can trade as much of lots you need. However, when trading with higher lot size in Nifty Options, you would have the issue of slippages. Slippages: Not being able to buy or sell the Underlying at the current price, predetermined.
What are Nifty Futures and how much is the lot size?
Nifty futures are essentially futures contracts on the Nifty. The minimum lot size of the Nifty is 75 units which makes the lot value at a little over Rs.7.50 lakhs. What are the tips for trading in Nifty futures and what are the Nifty futures trading techniques?
How to maximize the premium in NIFTY trading?
Moreover, we also maximized the premium by timing the trade perfectly. Another thing that can be done is that as the Nifty nears a resistance, we can also sell Calls before expiry and get even more profits.
Are stop losses a must when trading the Nifty?
While stop losses are a must when trading the Nifty, one also needs to understand the margins. Firstly, there is an initial margin you pay at the time of taking the position which includes the VAR margin and the ELM margins.
What is the minimum lot size of nifty in India?
The minimum lot size of the Nifty is 75 units which makes the lot value at a little over Rs.7.50 lakhs. What are the tips for trading in Nifty futures and what are the Nifty futures trading techniques? Let us understand some points to remember which will help us on how to trade Nifty futures intraday and for the longer term.