Nifty50 option strategy: 16-10-2025

Options Strategy & Analysis

Nifty 50 Index – Wednesday, 15 October 2025, 05:28 PM IST

📊 Chart Analysis

Bias: Mild Bearish (Range-bound)

EMA/Trend: Price below 20/50 EMAs on 15m/1H, above 200 EMA on daily, indicating short-term pullback in uptrend

Support/Resistance: Support at 25,000 (200H EMA), OI Support at 25,200, Resistance at 25,400

Stoch RSI: Oversold (Flattening), selling pressure easing

🖼️ 15m Chart

15-minute chart showing short-term correction within a broader uptrend

📈 Option Chain Analysis

Highest Put OI: 25,200 (0.47 Lacs contracts)

Highest Call OI: 25,400 (0.61 Lacs contracts)

IV Skew: High IV on some strikes, Bear Call Spread benefits from IV drop

Greeks Insight (Delta/Theta): Positive Delta needed for max profit (Nifty below 25,350), Theta decay benefits

🎯 Selected Hedged Strategy

Strategy: Bear Call Spread

Strikes: Sell 25,350 CE @ ₹67.87, Buy 25,450 CE @ ₹50.60

Rationale: Profits from range-bound or mild bearish movement below 25,350, supported by 25,400 resistance and Theta decay

💰 Pre-Trade Metrics

Entry Premiums (Net Credit): ₹1,295.25

Max Profit: ₹1,295.25

Max Loss: ₹6,204.75

Risk/Reward: 0.21:1

Prob. of Profit (POP): 75%

Lot Basis: 75 contracts

Risk Level:

LowModerateHigh

📌 Trade Note

Entry Trigger: Enter if Nifty stays below 25,300 or rejects 25,400

Exit Plan: Exit at 70% profit (~₹900) or if Nifty sustains above 25,350 for 15 minutes

Post-Trade Analysis

Trade Completed • ₹906.50 Profit

Final P&L

₹906.50

Return on Risk

14.6%

Trade Duration

3 hours 28 minutes

Strategy Recap

Bear Call Spread (Sell 25,350 CE @ ₹67.87, Buy 25,450 CE @ ₹50.60) closed at 70% of max profit as Nifty pulled back to 25,320, respecting 25,400 resistance

Strategy Performance

Achieved 70% of max profit (₹906.50), aligning with planned exit at 25,400 resistance

Learnings & Observations

• Theta decay maximized profit in a short hold, validating low-IV setups
• Widen spread (e.g., 25,350/25,500) for better risk/reward in future trades

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⚠️ Disclaimer

Options trading involves significant risk and is not suitable for every investor. Please ensure you understand the risks involved and consult with your financial advisor before participating. Past performance does not guarantee future results. Trade responsibly.