Nifty 50 — Weekly View
Trend remains constructive above 50-EMA; India VIX low — premium-sell zone.
Setup
Nifty 50 is trading above the 50-day EMA for the third consecutive week, with ADX rising through 25 — confirming a real trend rather than a drift. India VIX is at 12.4, comfortably below the 13 threshold I use as a “premium-sell green light.”
Entry plan
- Strategy: Weekly Bull Put Spread
- Short delta target: 0.20–0.25
- Width: 100 points
- Risk per trade: 1% of NAV
Exits
- Profit target: close at 50% of credit
- Stop: if short strike is breached intraday by > 1× ATR
- Time: roll or close at 21 DTE if not yet at target
Notes
This is a vanilla mean-reversion-of-IV play. The signal here is the combination of trending price + low VIX — either alone is not enough.
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