How to do Bank Nifty Intraday Options Trading, How to Earn Profit by Buying and Selling Call or Put Options in Bank Nifty, What to Keep in Mind Before Trading in Bank Nifty?
today i will tell you How to trade in Bank Nifty? How to place order and exit order to trade in bank nifty means how to exit your positions in bank nifty, how to profit in bank nifty and how much and when can there be loss?
Apart from this, I will also tell you how much money should be in your demat account and how much margin is available to trade in Banknifty.
how to trade in bank nifty To know this, definitely read this post completely. It is always my endeavor to explain every post in a very easy and practical way so that you can understand any topic easily.
Let us first know that-
Things you must know before trading in Banknifty:
Before trading in Banknifty you should know the following things:
- When you trade in Banknifty, most of you do option trading which can be done only in Nifty, Banknifty, Nifty IT and any particular stocks (eg; Reliance, SBI and few others).
- While trading options in bank nifty Call And Put There are two types of options.
- Call option You can also buy and sell Put option You can also buy and sell.
Now the question must be coming in your mind that When should we buy call option and when should we buy put option while trading in Bank Nifty?
The answer is that:
- If you feel that Bank Nifty will go up then you should buy Call option i.e. CE and vice versa if you feel that Bank Nifty will go down then you should buy Put option i.e. PE.
If now Banknifty 40000 points and you think that there is a possibility of the Banknifty index going up after sometime then you CE i.e call option buy. And if you think Bank Nifty will go down from this price then you should PE i.e put option should buy.
Please pay attention,
- When Bank Nifty falls down, all the put premiums will increase and all the call premiums will decrease.
- Similarly, when the Bank Nifty goes up, the premiums of all the calls will increase and the premiums of all the puts will decrease.
Meaning When there is a fall in Bank Nifty, the put buyer makes profit and the call buyer loses
just like that When the Bank Nifty rises, the call buyer makes profit and the put buyer loses.
Now you must have understood that Call option always runs along with Banknifty. If Banknifty goes up then the premium of Call option will increase.
And put option runs opposite to bank nifty means when If BankNifty falls, then the premium of Put option will increase.
banknifty trading strategy in hindi,
When you feel that Banknifty will fall from here, then you should buy Put option so that its premium is big and you can earn profit by selling it.
And when you feel that Bank Nifty will go up from here, then immediately you should buy Call option, then as soon as the premium of Call option increases, you will be able to earn profit by selling it.
means to say that Whether you buy Call option or Put option but you will make profit only when your option premium increases.
Now you must have understood that in order to make profit in Banknifty, it is necessary to increase the premium of the call or put option you have bought.
Let us see an example to understand it better-
Suppose you bought a premium of Put option whose price is ₹500 Is. Now if Bank Nifty goes up then the price of this put option you bought will go down which means you will incur a loss.
Bank Nifty should go down to earn profit from this put option you bought, only then your put option premium will increase and you will be able to earn profit.
But if instead you had bought the premium of the call option, then with the increase in the bank nifty, the premium of the call option would also increase and you would have made a profit.
All this means that If you have bought Call option then you will make profit only when bank nifty goes up and if you have bought Put option then you will profit when bank nifty falls.
So I hope now you have understood that you have to do research on whether banknifty will go up or go down. If bank nifty goes up then you can earn profit by buying call option and if bank nifty goes down then you can earn profit by buying put option.
So far I have told you about the things that every Banknifty trader should know before trading in Banknifty.
Let us now understand step by step that How to trade in Banknifty-
How to trade in Bank Nifty? (Banknifty me trading kaise kare)
To trade in Bank Nifty, you have to buy or sell a call option or a put option at a certain strike price. If bank nifty rises then there will be profit on buying call option and if bank nifty falls then there will be profit on buying put option.
Let us now know all the steps one by one to trade in banknifty-
Step 1. First of all open the broker app.
- First of all open all discount broker apps whether it is Upstox, Zerodha, Angel broking or any app in which your demat account is opened.
take care; The method of trading in Bank Nifty is almost the same across all discount broker apps.
Step 2. Add Banknifty option to the watchlist.
- On the watchlist screen where you see your added stocks and index, on the same page you will see the (+) button above, click on it.
- Now select F&O and in the top search box BANKNIFTY type.
- As soon as you type BANKNIFTY, you will see many options like below-
BANKNIFTY 22 NOV 22 FUT ,This is the Bank Nifty Future of 22 NOV 2022.,
And BANKNIFTY 29 DEC 22 22500 CE ,This is a call option of 29th December 2022 with a strike price of 22500,
just like that BANKNIFTY 29 DEC 22 22500 CE ,This is a put option dated 29th December 2022 with strike price of 22500,
To make profit from bank nifty trading, remember this –
- BANKNIFTY 29 DEC 22 22500 CE (You should buy this call option when bank nifty is currently trading below 22500 and you think bank nifty is going to rise soon)
- BANKNIFTY 29 DEC 22 22500 PE (You should buy this put option when bank nifty is currently trading above 22500 and you think bank nifty is going to fall soon)
given in front of any Call or Put option you want to tradeAddClick on the ‘ button.
Step 3. Go to the watchlist and click on your added option.
- Now the call or put option you have added will appear on your watchlist screen, click on it.
- By clicking on it, you will see the premium price of that call or put option, you have to pay the same price to buy that option.
- If your premium increases then you can earn profit by selling it.
Step 4. Click on Buy button.
- By clicking on that option you will get BUY To click on the button.
- On the next screen you have to select your Quantity, Price and Order type.
You have to select a lot in Quantity.
- each lot at least 20, 25 or 30 Happens around
- suppose if lot size 20 and the price of your option premium 500rs If you have to buy a lot then ₹10000 Have to put
- Similarly if you want to buy 2 lots then 20000rs I will get it.
This means to say that you always have to trade in Bank Nifty in lots. In Banknifty, you cannot buy minimum one share like share, but you have to buy minimum 1 lot.
Means if the size of 1 lot of Bank Nifty is 25 then you can trade only in its multiple like; 25, 50, 75, 100, 125 e.t.c.
now you What is lot in bank nifty You must have understood this.
After selecting the lot size, now you Limit price And market price Two options will appear.
I recommend You should always trade in Bank Nifty at the limit price Because the market price moves up and down every second, that’s why enter your limit price.
Step 5. Click on Confirm buy or Swipe to buy.
Now finally given below’Swipe to buyClick on the ‘ button.
So you saw that in this way you can trade in Bank Nifty.
After buying call or put option in bank nifty, you have to keep tracking your order and if the price of premium you buy falls, then we can earn profit by selling it and if the price of premium decreases then you can make profit of it. can wait.
how to trade in bank nifty After taking this information, now let us understand that-
What to keep in mind while trading Bank Nifty?
- If you are buying a call or put of the monthly expiry, then you should buy it before the 15th of the month. Try to avoid trading in the monthly expiry after the 15th.
- The reason for this is that as the expiry nears, the premium starts decreasing.
- That is why it will happen many times that even if Bank Nifty will increase, your call option premiums will not show much effect, meaning they will not show you in profit.
- Similarly, if Bank Nifty falls, even then the premium of your Put will not show good profit.
- While choosing Strike Price, you should also take care of Open Interest.
- Any strike price above which the open interest is higher, whether it is a call or a put, has higher volatility and the higher the chance of the premium going up.
FAQ’s About how to trade Banknifty in hindi
Should I trade Nifty or Bank Nifty?
To trade in Nifty, you have to estimate the performance of the top 50 companies of India, whereas to do Bank Nifty, you have to estimate the performance of the banking sector. If you have good knowledge and experience of banking sector then you should trade in Bank Nifty instead of Nifty.
Which is the best time to trade Bank Nifty?
According to expert traders, 9:30 am to 10:30 am is considered to be the best time to trade in Bank Nifty.
How to profit from trading in Bank Nifty?
To make profit from bank nifty trading, it is necessary to increase the price of the call or put premium you have bought. If you have bought call option of bank nifty and bank nifty goes up then you make profit.
How many shares are there in 1 lot size of Bank Nifty?
The size of 1 lot of Bank Nifty is 25. While trading in Bank Nifty, you can buy or sell at most 48 lots in a single order.
BankNifty me trading kaise kare ‘Conclusion’
In this article I how to trade in bank nifty And What are the things to keep in mind before trading in Bank Nifty? It has been explained in detail.
I hope you must have found this post useful, now you must have known How to trade in Bank Nifty.
If you have any question related to this post then definitely ask in the comment box below.
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