DISCLAIMER: This guide and Stocxer AI market insights are for educational and research purposes only. Options trading involves high risk. This is not financial advice.
How to Read a Stocxer Market Insight
We'll explain everything using a real NIFTY monthly scan that ran on our platform. No jargon. No confusion.
🎬 Watch this first — then follow along with the written guide below
Options Basics in 2 Minutes
CALL (CE)
Call Option
You buy a CALL when you believe the market will go UP. Market goes UP → CE profits, Market goes DOWN → CE loses.
✅ Market goes UP → CE profits
❌ Market goes DOWN → CE loses
PUT (PE)
Put Option
You buy a PUT when you believe the market will go DOWN. Market goes DOWN → PE profits, Market goes UP → PE loses.
✅ Market goes DOWN → PE profits
❌ Market goes UP → PE loses
📅 Expiry Date
Monthly = expires at the end of the contract month. This gives you more time for the trade to work — less time-decay pressure than weekly options.
🎯 Strike Price
The index level at which your option is 'in the money.' We chose 25350 because NIFTY spot is at 25,178 — that's our target level.
📦 Lot Size
NIFTY options trade in fixed 'lots.' Minimum is 1 lot = 65 units.
Decoding the Real NIFTY Analysis
Here is the exact analysis Stocxer AI generated for NIFTY on Feb 28, 2026:
Observed Setup
WAIT
25350 Strike (PE)
Reference Price
₹353.5
Confidence: 50%
Level 1
₹530
+50%
Level 2
₹707
+100%
Invalidation
₹247
-30%
R:R
1:1:1.7
Favorable
Trading Symbol (use this in your broker terminal)
NSE:NIFTY26MAR25350PE
Reference Price: ₹353.50
This is the premium (cost) of the option contract. The AI says 'WAIT' — meaning conditions are not favorable for entry yet. Wait for the price to dip to ₹353.50 or below.
Level 1 (T1): ₹530 (+50%)
When it reaches ₹530, consider booking partial profit (sell 50% of your quantity).
Level 2 (T2): ₹707 (+100%)
The extended level if the move is strong. Sell your remaining quantity here (100% gain).
Invalidation (SL): ₹247 (-30%)
This is your safety net. CRITICAL. If the premium falls to ₹247, exit immediately. Never ignore this level.
Risk:Reward Ratio — 1:1.7
For every ₹1 you risk losing, you can potentially earn ₹1.7 at T2. A ratio above 1:1.5 is considered 'favorable.'
Quick Scalp Targets — For Intraday Traders
If you're a fast intraday trader who wants smaller but quicker profits, use the Quick Scalp Targets section.
+5 Idx Pts
₹358.5
+₹325
+10 Idx Pts
₹363.5
+₹650
+15 Idx Pts
₹368.5
+₹975
How to use: Instead of holding till Level 1, scalp traders target only 5–15 index points of movement. Each +5 index point move on NIFTY = ≈ ₹160 per lot (65 units).
Option Premium S&D Analysis
This shows where institutional buyers (Demand) and sellers (Supply) are fighting. It's the most important section for timing your entry.
Premium
₹353.5
+33.9%
VWAP
₹315.1
↑ Above
Day Range
₹264–389
flat vol
S&D Zones
4D / 1S
75 candles
🟢 Top Demand Zones (Support)
These are zones where buyers are likely to step in and push the premium UP. Buying near these zones = better entry with lower risk.
🔴 Top Supply Zones (Resistance)
These are zones where sellers are likely to push the premium DOWN. Premium reaching here = danger zone, book profits before this level.
How to use S&D zones for entry timing
- Current premium is ₹353.50 — above the VWAP of ₹315.1.
- Nearest supply zone is ₹367–374 → risky to buy now.
- Demand zones at ₹280–286 and ₹302–310 → ideal buy zone.
- Strategy: Wait for a pullback to Demand Zone, then buy.
PCR (Put/Call Ratio)
1.03
Close to 1 = Neutral
Trend
PE Strengthening
Bearish pressure
PE vs CE OI
PE +311%
More puts = bearish
Constituent Analysis
Stocxer's full scan analyzes all 50 NIFTY constituent stocks in parallel. Here's what the real scan data showed:
Bullish Stocks
20%
29 of 50
Bearish Stocks
64%
20 of 50
Consensus Bias
PUT
Based on data consensus
Confidence
50%
Medium
When 64% of NIFTY's 50 constituent stocks are bearish, the index itself is likely to fall — confirming the PUT bias.
Quick Glossary
Ask Watchman AI i4.6
After scanning, click the AI Chat button in your dashboard and ask anything about the market insight.
i4.6 · Trading Intelligence
The current Higher Timeframe (HTF) trend for Nifty is BEARISH. However, the recommended TRADE ACTION is to WAIT, as the system is monitoring for a potential entry trigger.
This is for informational and educational purposes only, not financial advice.
Look, the analysis is telling us to WAIT because the conditions aren't aligned yet. Here's the breakdown:
HTF Bias is BEARISH, but that doesn't mean we short blindly. The system is looking for a specific setup — likely an AMD (Accumulation/Manipulation/Distribution) pattern to trigger a reversal trade.
Why WAIT?
- No lower timeframe (LTF) confirmation yet
- The price hasn't hit the ideal entry zone (₹302–310 demand)
- Supply zone at ₹367–374 is nearby — risky to enter now
Not financial advice — trade at your own risk.
💬 Things you can ask Watchman AI after a scan:
How to access Watchman AI i4.6
- Go to your dashboard and run a NIFTY scan
- Click the "AI Chat" button (blue button, top right or floating on mobile)
- The AI already has your scan context — just type your question!
Ready to Try Your First Real Scan?
New users get 100 free credits — enough for 100+ quick scans. No card required to start.