Page 6 - Derivative Trading

Sebi bars launch of new derivative contracts for wheat, other commodities

Markets regulator Sebi on Monday directed stock exchanges not to launch new derivative contracts in wheat, crude palm oil, moong and few other commodities till further orders. The latest directive will come into force with immediate effect, according to a release. Launch of new contracts for the paddy (non-basmati), wheat, soya bean and its derivatives (its complex), crude palm oil and moong have been barred till further orders by the regulator. The list includes chana, and mustard seeds and its derivatives (its complex). The derivative contracts in these commodities were suspended earlier this year, the release said. In respect of running contracts, no new position will be allowed to be taken and only squaring up of position will be allowed. The directions will be applicable for a period of one year, it added.

Here is a Bull Spread Strategy on Infosys by HDFC Securities

The stock price of Infosys has broken out from the downward sloping trendline on daily chart

F&O: Bull Spread Strategy on L&T by Nandish Shah of HDFC Securities

Capital goods as a sector looking good on the chart

F&O Strategy: Nandish Shah recommends a Bear Spread strategy on Nifty

The derivative analyst from HDFC Securities recommends this strategy based on the following four rationales

Nandish Shah recommends a Bull Spread strategy on Bank of Baroda

The derivative analyst from HDFC Securities recomends this strategy based on the following five rationales.

Here is a derivative strategy on DLF by HDFC Securities

In the current week, the stock of DLF broke out from the crucial resistance of 350 and saw added significant gains after that

Here is a Bull Spread Strategy on Alkem Labs by Nandish Shah of HDFC Sec

The stock price of Alkem Laboratories has broken out on the daily chart

Bull Spread Strategy on Pidilite Inds by Nandish Shah of HDFC Securities

Pidilite Sept futures have seen long build up, the open interest has increased by 18 per cent with 5 per cent rise in price.

Sebi tweaks client level position limits for currency derivative contracts

Sebi on Tuesday tweaked the client level position limits for trading in cross-currency futures and options contracts. Position limit refers to the highest number of options or futures contracts an investor is allowed to hold on one underlying security. Based on feedback received from stock exchanges and clearing corporations and upon a review of the same, it has been decided to revise the client level position limits, per stock exchange, Sebi said in a circular. Gross open positions of the client across all contracts in the respective currency pairs will not exceed the limits set up by the regulator. For USD-INR, Sebi said that gross open position across all contracts will not exceed 6 per cent of the total open interest or USD 20 million, whichever is higher. Earlier, this was USD 10 million. In EUR-INR case, the gross open position across all contracts will not exceed 6 per cent of the total open interest or 10 million euros, whichever is higher. The limit was earlier fixed at 5

Bull Spread strategy on Colgate Palmolive by Nandish Shah of HDFC Sec

The stock price of Colgate has broken out on the daily chart where it closes at all time high levels

Bull spread strategy on Deepak Nitrite by Nandish Shah of HDFC Securities

The stock price has broken out on the daily chart where it has closed at highest levels since May 06, 2021 with higher volumes

Bull spread strategy on HCL Tech by Nandish Shah of HDFC Securities

Stock price has broken out on the daily line chart with higher volumes

Bull spread strategy on Jubilant Food by Nandish Shah of HDFC Securities

Jubilant FoodWork's stock price is forming bullish higher top, higher bottom formation on the weekly and monthly charts

Here is a Bull Spread Strategy on Divi's Labs by Nandish Shah of HDFC Sec

The short term trend is positive where the stock is trading above its 5-, 20- and 50-day EMA

Here is a Bull Spread Strategy on DLF by Nandish Shah of HDFC Securities

The short-term trend of the stock turned positive as stock price closed above its 5-day EMA, first time after 07-April 2021

Bull Spread strategy on Dr Reddy's Labs by Nandish Shah of HDFC Securities

The stock price has broken out on the daily chart where it closed above 200-day EMA with higher volumes

Sebi tightens margin norms for commodities trading to curb negative pricing

The move is a fallout of oil prices slipping into negative territory in the futures market last year

Here's a Bull Spread strategy on Tata Power by Nandish Shah of HDFC Sec

The stock price of Tata Power has witnessed running correction of 10 per cent from the recent high and has reached to a support level which, HDFC Securities believes, is a good buying opportunity

Bull Spread strategy on Britannia by Nandish Shah of HDFC Securities

Short term trend of the stock has turned positive where the stock price is trading above all important short-term moving averages

Here is a derivative strategy for Cadila Health by Vinay Rajani of HDFC Sec

The stock price of Cadila Healthcare has broken out from the consolidation which held for last three weeks