Option Strategy on Nifty Bank from Chandan Taparia of Motilal Oswal

NIFTY BANK: BULL CALL SPREAD – 28th Sept – Monthly Expiry
 
BUY NIFTY BANK 24700 CALL
SELL NIFTY BANK 25000 CALL
 
RATIONALE
1. It has given a consolidation breakout above 24500 zones
2. Fresh Put writing is seen at 24500 and 24200 strike
3. Buying interest in most of the heavyweight and built up of long position
4. Call unwinding in 24500 and shift in maximum OI congestion suggests further up move
5. Thus low risk Bull Call Spread is recommended
 
STOP LOSS: Rs 3,000
TARGET: Rs 6,000
 
Disclaimer: The analyst may have positions in any