Reliance Option Trading Tips
Reliance is one of the largest company based on Market Cap in India. Of late there is huge competition between Reliance and TCS to gain the top position.Sometimes Reliance wins the race and sometimes TCS.
Reliance is also very popular in Options traders as well. This fact is reflected in good trading volume this share attracts on any given day. It is one of the most traded Options Stock in market.
Note trading volume in a particular stock also depends on volatility of that given day. Except those high volatility days also it has good volume on most of the strike prices.
I am listing down few tips in below paragraphs which would help you in your trading. You should consider these points in association with the Options Open Interest Analysis sheet to plan your trade.
Note the sheet downloads and refreshes options data so you get the updated data all the time. It also creates important Long and Short position details to help you in your trade.
- Reliance is in Refinery business and Petro Chemical business. The recent addition is Telecommunications in form of Reliance Jio.
- The stock price is positively impacted by number of subscriber gain by Reliance Jio. This is monthly data and you should see positive movement if subscriber count addition is positive compared to other players like Airtel and Vodafone.
- Result day is very important for Reliance. For past couple of years it has shown positive bias on Result month. For example if Result is in June 20th then in June month it shows positive movement.
- The month after result month is cooling one. The positive movement rather aggressive positive movement cools off and stock prices come down to give people another entry point.
Note above points are based on past performance of the stock prices and may not hold true for future price movement. The Jio addition has been positive for company and above behavior is for Jio alone.
Things may change if business starts to make loss or remains stagnant compared to previous quarters. So you should improvise your trade plan or prediction in view to the results declared and prediction related to results.
Download Options OI Excel Sheet
The average volume of Reliance is around 50,000 if you combine both Calls and Puts. This gives you good volume to trade in ITM and OTM. So you can easily square off your positions without worrying about Liquidity.
Reliance is one of the best stocks to trade in Options. You can see list of other stocks which have good volume and are best to trade in Options on my article about Options Open Interest Analysis Excel Sheet for F&O stocks.
Below is the link to download the sheet for Reliance.In the article you will also find download links for Nifty and Bank Nifty.
If you are interested to trade in Nifty and Bank Nifty then you can download the sheet for these two as well. Below are the links to download the sheet for Nifty and Bank Nifty as well.