Bull Spread strategy on Tata Consumer Products
Buy TATA CONSUMER PRODUCTS 350 Call at Rs 13.3 & simultaneously sell 370 call at Rs 6.3
Lot Size: 2,700
Cost of the strategy: Rs 7 (Rs 18,900 per strategy)
Maximum profit: Rs 35,100 If Tata consumer closes at or above 357 on May expiry)
Break-even point: Rs 357
Rationale:
-- Long build-up is seen in the Tata consumer Futures’ where we have seen 8 per cent (Prov) rise in the Open Interest with price moving up by 1.7 per cent.
-- Primary trend of the stock is positive where stock price is trading above its