Option strategy on Nifty Bank by Chandan Taparia of MOSL

Buying interest in most of the heavyweight and built up of long position

markets, stocks, sensex, nifty, bse, nse

Premium

Photo: Shutterstock

Chandan Taparia Mumbai

Last Updated : Sep 12 2017 | 8:01 AM IST

Option Strategy

NIFTY BANK: BULL CALL SPREAD – 28th Sept – Monthly Expiry

BUY BANK NIFTY 24700 CALL @ 230
SELL BANK NIFTY 25000 CALL @ 120

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

BEP: 24810
MAX RISK: 110 Points: Rs.

What you get on BS Premium?

Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
Pick your 5 favourite companies, get a daily email with all news updates on them.
Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
Preferential invites to Business Standard events.
Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.

VIEW ALL FAQs

Need More Information - write to us at assist@bsmail.in