August 20, 2014

Question: buying puts in a rising market

Dear sir
nifty is on life time high can he sustain on it ??? 
Can we buy 7900 put for this series expiry give me suggestion
I want to take risk but i also want your advice
I know u r not like call and put but money are thers i want only your suggestion for this trade

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Answer

In next 5 years nifty will rally to 25000-30000 levels. 

So are you going to buy puts everytime markets make a new lifetime high?


In a rising market you should buy calls and in a falling market you should buy puts.


Why is it so difficult to follow a simple rule like this?

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