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Optionalysis: Expiry and Max Pain

This is an archive post for Capital Mind Premium Subscribers, sent on 27 May 2014. Click here to Subscribe. A quick post on Options today. Max Pain (as we’ve ...

Optionalysis: The Put-Call Ratio and the Huge Outlier in PCROI

The Put-Call Ratio is often quoted as a statistic that could, perhaps, influence market behaviour. Let’s take a deeper look Take the ratio of the total ...

Optionalysis: Implied Volatilities Show What Is Better To Buy

This is a post for Capital Mind Premium subscribers. (Subscribe now!) Here’s a quick note before the close to look at option implied volatilities. While the ...

Optionalysis: Writing Options Fraught With IV Rise Danger, But Risk/Reward Favourable

This is a post for Capital Mind Premium subscribers, sent on 02 May 2014. You might think the Vix is high, at 33. Or that implied volatilities look very high. ...

Optionalysis: Nifty Looks Poised For A Trend Change

This is a Capital Mind Premium subscriber post, sent on 30 May 2014. Be Careful. Option trading is largely focussed on the Nifty. The Nifty has suddenly turned ...

Premium: Implied Move in Stocks From Straddle Ranges

This is a Premium Post for Capital Mind Premium Subscribers, sent on March 9, 2014. Volatility is part of all markets. Prices will fluctuate because they are ...
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Interest Rate Futures Get Some Market Love; 500 cr. Traded Today, 3,000 cr. Yesterday

NSE Introduced Interest Rate Future (again) yesterday, and this time there seems to be some early interest from players. More than 3,000 cr. was traded ...

Premium: The Concept of Max Pain in Options

This is an archive for Capital Mind Premium subscribers. Options are a strange beast. Most options expire worthless, and this has been demonstrated in the US ...

How Have Stocks Done In a Month of High Carry?

Last week was the Futures and Options expiry and something strange happened. The Nifty October Future – 1 month away – was at a 1.1% premium to the ...

NSE Halves Inter-Strike Distance from September

NSE has changed the Nifty strike prices to be 50 points between strikes, rather than the 100 points it is now. In a circular, the new strikes will magically ...