--> Covered call in indices for monthly returns we can expect 12 to 14% returns per year. --> This is for who are not active in trading and having sufficient capital and expecting fixed returns from markets.

--> If market trading hours extended to 11.55 PM will planning to do only this strategy only. I am more than happy for 2% returns per month returns without watching markets in whole month .

--> This is for who are having sufficient bees quantity in investment and expecting fixed returns from markets. --> Now Will explain for Nifty bees. I already explained Bank bees. Please go through below tweet. https://x.com/Suresh_kumar047/...

--> In nifty i am following different way compared to bank bees strategy because bank bees 500 OTM also will get good premium but nifty ATM also we dont get much premium Now will explain in detail how i do in nifty. Niftybees = Nifty Bankbees = Bank Nifty

--> Price of the etfs are slightly higher than than the spot prices because they include dividend pay out of the stocks. --> These etfs are managed by Nippon asset management.

I entered on May 17th 2023 9.30 AM Nifty spot price on May 17th 9.30 AM is = 18270 Nifty bees trading price = 200.10 rs Nifty 1 lot = 50 So multiply lot size * Spot price = 50*18270 = 913500 https://x.com/Suresh_kumar047/...

Nifty bees quantity =913500 /200.10 = 4565 => 4500 ( But i bought 4100 only because already i have 400 quantity of bees in my account) So you should buy 4500 quantities of bees. you can do monthly options for better returns in long run. June month 18200 ce trading at 405 rs

You can sell this 18200 call and If it go to zero you will get 20250 rs (405*50 = 20250) profit in month. After buy bees and sold 18200 call deploy put butterfly insurance for Bees investment.

Nifty trading at 18270 . Why i selected ITM strike of 18200 will explain here. Logically it should trade 70 rs only because of just 70 rs ITM . But it is trading at 405 rs means (405-70=335) it has 335 points of Intrinsic valve.

If nifty close at 18270 by june month end i will get 335 points profit means ( 335*50 = 16750 rs ) which is 1.6% . At 18270 Nifty bees is no loss and no profit . Only that is the reason i selected ITM strike.

Down side protection i deployed 1:2 put ratio but i wont recommend to deploy put ratio you can deploy 1:2:1 put butterfly because it has limited loss. so you can select the strike of put butterfly 18000 pe 1 lot buy 17500 pe 2 lots sell 17000 pe 1 lot buy

You can pledge that nifty bees and sell far otm call or puts just to cover this put butterfly loss (2200 rs ) so coming all cases i wont consider this put butterfly loss. For each 100 points Move in nifty. Nifty bees will change 1 rupee . So now i do calculations based on this.

Now will explain how we get profit in this strategy :- Case 1 :- Market close at 18270 levels . Nifty bees No loss and No Profit . Call profit is :- 335*50 = 16750 rs (335 is Intrinsic value ) At 18270 will get 16750 which is 1.6% .

Case 2 :- Market close at 18500 levels . ( 230 points from entry spot level (18500-18270 = 230 Points ) Bees profit :- 4500*2.3 = 10350 rs Call Profit :- 18500-18200 = 300 points I collected 405 points --> 405-300 = 105 105*50 = 5250 profit

At 18500 will get 10350+5250= 15500 rs profit which is 1.5% profit . Case 3 :- Market close at 18000 levels . ( 270 points below entry spot level (18270-18000 = 270 Points )

Nifty bees loss :- 4500*2.7 = 12150 loss but i wont consider this loss because this bees dont have any expiry so will keep as it is . Call Profit : 405*50 = 20250 rs At 18000 level will get 20250 rs profit which 2% profit .

Will invest this 2% in Nifty bees at 18000 levels best avg price repeat for next month . Case 4 :- This case the valve of butterfly will coming to picture. Market close at 17500 levels . ( 770 points below entry spot level (18270-17500 = 770 Points )

Nifty bees loss :- 4500*7.7 = 34650 loss but i wont consider this loss because this bees dont have any expiry so will keep as it is . Call Profit : 405*50 = 20250 rs Butterfly profit :- 22800 rs At 17500 level will get 43050 rs profit which 4% profit .

will invest this 4% in Nifty bees at 17500 levels best avg price repeat for next month . In All 4 cases you should not watch markets for 1 month . Just enter , forget and book profit that's it. Here condition is that 10L investment in bees should hold for long term and repeat.

Every month you can easily generate 2%. If market falling continuously then with pledged bees you can sell weekly calls also. In this i selected ITM strike for call sell. You can do ATM or OTM also depends on your target and your view.

Before selecting strike you should calculate return like this and enter. If you are looking for positional and intraday strategies. Here i explained almost 10 strategies . You can read and try. Happy Learning and Keep growing✌️ https://x.com/Suresh_kumar047/...

@Suresh_kumar047 Anna in case 2 where we are bees are profitable and loss in converted calls (Nifty at 18500), idhe every time repeat aithe? Asalu booked profits undadu kada coz we never sell bees?

@gumdal we are playing with nifty bro not small cap stocks so index will give good pull backs everytime.

@Suresh_kumar047 What to do if nifty has fallen for the whole month? Next call to be sold should be of which level?

@PinchaKapil It it happens will update my live positions .. just will wait..

@Suresh_kumar047 bhayya.. bankbees tho covered call strategy cheyalante dmat account lo entha worth bankbees undali? new lot size prakaram.. & month starting lo ATM call sell cheste saripotunda? Thanks in advance 🙏

@SrinivasBale10 8 L undali bro

@Suresh_kumar047 So i have a doubt, say if nifty fell to 17500 or 17000 or whatever level, then from next month we won't get any premium if we sell Calls at our cost strike (18200) as it would be far OTM.. & if we sell ATM strike like 17000 or 17500 call, what happens if market goes back to 18250

@Suresh_kumar047 There’s a big flaw in this. You cannot say I’m not considering the loss of niftybees.What if for 12 months market has gone down every month and you only make money in call? Net you’ll be in loss!! You must consider the capital loss as well. With that the strategy isnt profitable

@Suresh_kumar047 After market fall, there is good profit in call sell and in put butterfly. However, nifty bees is in unrealised loss. Now in next month which strike price call option to sell ?

@Suresh_kumar047 If price will drop by 10-15% then which strike to sell on next month?

@Suresh_kumar047 Pledge karne se interest lagta he?

@Suresh_kumar047 Hey Suresh garu, In case 4, if the market closes around 17500 in June, we will be at a profit of 43k. And we will continue to hold niftybees. So, for the July expiry which strike price we need to sell on the call side? Pls suggest

@Suresh_kumar047 the setup has loopholes , be careful before trading this strategy

@Suresh_kumar047 Excellent thread Suresh. Just want to know that in case of Example 3 or 4, in next month which call strike u will sell ? If market remains subdue for long time like 2021 to till today, how will u manage it?