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SMI for Options Swing

SBER SMI can be used for swing analysis on higher time frames (check recommendation for new users).

Depending whether your are option buyer or writer, you can check for conditions same as mentioned for option buyers / option writers day traders with below additional measures (indicative):

  • Do not leave position unhedged overnight.
  • Select strike carefully. Far OTMs selected for swing trades can be highly risky for option buyers.
  • Prefer to select expiry which are at least 8 to 10 days far at any time.
  • For stocks options, it has been observed that theta decay accelerates between 11th to 20th of the month. Plan your trades carefully.
  • If plan to hold trades for say around 6 days and every day movement of a stock is average at 20 points (check SBER PEC tool for planning swing trades), then buying options with extrinsic or time value above 60 rupee (days X PEC value / 2) can minimize returns. Plan your trades carefully.
  • Exit the trade if any trading condition is interrupted.


Do not trade options if textual information reads “Abrupt indecisive moves expected” or “Info NA”