You are here: Home » Markets » F&O
Business Standard

Option Strategy on JSW Steel by Motilal Oswal Securities

Positive sector outlook with long rolls suggests extension of up move after a small consolidation

Chandan Taparia  |  Mumbai 

steel factory, steel

Strategy:

Option Strategy:

: BULL CALL SPREAD
Buy 210 CE 1 lot
Sell 215 CE 1 lot

Reward: 15000                     
Risk: 5000

Rationale:

1. It has taken the support at 190 and managed to hold above 200 zone
2. Positive sector outlook with long rolls suggests extension of up move after a small consolidation
3. Fresh Put writing at 200 strike could provide the support
4. Call unwinding in 210 strike may give fresh momentum and fresh leg of rally towards 215-218 zone
5. Thus low risk strategy Bull Call Spread is recommended

Disclaimer: is a Derivatives and Technical Analyst at

First Published: Tue, July 04 2017. 08:18 IST
RECOMMENDED FOR YOU