Expiry special strategy booked 300% Returns in nifty expiry using adjustment theory

Summary

In a dynamic live trading session centered around Nifty's expiry, the host introduced adjustment theory, emphasizing its role in optimizing trading strategies based on premium behavior. The session featured real-time trade executions, with the host demonstrating risk management techniques such as setting stop-loss limits to protect capital. Viewers were encouraged to maintain patience and focus on capital safety while reflecting on the potential for substantial returns, even with smaller investments. The host concluded by inviting audience engagement, fostering a community around shared trading experiences and strategies.

Takeaways

• 😀 Today's session focuses on Nifty's expiry, with live trading using Adjustment Theory.
• 📊 Adjustment Theory involves making trades based on premium behavior observed in the market.
• 💰 A net capital of ₹1 lakh is being used for trading to address common questions about small capital trading.
• 🔍 Key strategies include watching where the market expires, especially around 21700.
• 📈 Executing trades is essential, with the first trade made at a market price for quantity 10.
• 🛑 Stop-loss orders are crucial for managing risks during trading.
• 💵 A profit of approximately ₹54,000 was booked, showcasing effective trading strategy.
• ⚖️ Emphasizing capital safety is vital, ensuring a focus on risk management.
• 🔄 Continuous monitoring of market conditions is necessary for making informed trading decisions.
• 🚀 The session encourages interaction, inviting viewers to share their experiences with Adjustment Theory.

Q & A

What is the main focus of the live trading session?

The main focus is on live trading using adjustment theory, particularly in the context of trading Nifty options.

What is adjustment theory in trading?

Adjustment theory refers to a strategy where traders make decisions based on the behavior of premiums, allowing them to execute trades effectively.

What capital is being used in this trading session?

The trader is using a net capital of ₹1 lakh for the trades.

What trading instruments are being discussed?

The session discusses Nifty 50 call options and the respective premiums for 21,650 and 21,700 strikes.

How does the trader plan to execute trades based on market expiration?

The trader intends to execute trades based on where the market expires, specifically looking at the 21,700 strike price.

What is the trader's approach to risk management?

The trader emphasizes keeping a close eye on capital safety and using stop-loss strategies to manage potential losses.

What profit did the trader mention achieving during the session?

The trader mentioned achieving a profit of ₹54,000 with a capital of ₹1 lakh, indicating a return of over 50%.

What strategy does the trader suggest for smaller capital?

The trader suggests that adjustment theory is an effective approach for increasing returns with smaller capital investments.

How does market volatility affect the trader's strategy?

Market volatility plays a significant role, as the trader needs to adapt and potentially adjust positions based on market movements.

What is the trader's final message to the viewers?

The trader encourages viewers to continue applying the adjustment theory and share their experiences in the comments.