NIFTY
Current: 5,625 (Jul fut: 5,636)
Target: NA
The index is still range-trading 5,600-5,700. A breakout could move till 5,500 or 5,800. A long strangle with long 5,500p (44) and long 5,800c (29) costs 73. This position will gain between 15-25 in net value on a breakout. The previously-recommended long call butterfly of long 5,600c (107), two short 5,700c (2x59) and long 5,800c (29) costs a maximum 18 and offers a max return of 82 at 5,700.
ICICI BANK
Current: Rs 1,075
Target: Rs 1,100
The stock has strong support at around Rs 1,065-1,070 and it could bounce till Rs 1,100 if the trend reverses. If Rs 1,065 is broken, it could also slide till Rs 1,035. Keep a stop at Rs 1,065 and go long. Add to the position between Rs 1,085-1,090. Book profits at Rs 1,100. If the Rs 1,065 stop is broken, consider a short.
LIC HSG
Current: Rs 224
Target: Rs 235
The stock may have found reliable support between Rs 220-225. In that case, it could rebound on profit-booking from shortsellers, till around Rs 235. If the support at Rs 220 is broken, it could fall till Rs 214. Keep a stop at Rs 220 and go long. Add to the position between Rs 225-227 and book profits above Rs 234. If Rs 220 is broken, go short with a target of Rs 214 and a stop at Rs 224.
TATA MOTORS
Current: Rs 1,036
Target: Rs 1,075
The stock could have an upside till the Rs 1,075-1,080 levels. Keep a stop at Rs 1,025 and go long. Add to the position between Rs 1,040-1,050 and reset the stop loss till Rs 1,035. Start booking profits above Rs 1,075. If the Rs 1,025 stop loss is broken, there may be a downside till Rs 990.
RCOM
Current: Rs 97;
Target: Rs 90
The stock could go down till the Rs 89-90 level before it finds support. Keep a stop at Rs 100 and go short. Add to the position between Rs 94-96 and reset the stop to Rs 97. Start booking profits at Rs 90. If the Rs 100 stop-loss is broken, the next resistance would be Rs 105.
The target price and projected movements given above are in terms of the next one trading session, unless otherwise stated
