 "Bull Spread strategy on Tata Consumer by Nandish Shah of HDFC Securities")
Bull Spread strategy on Tata Consumer Products
Buy TATA CONSUMER PRODUCTS 350 Call at Rs 13.3 & simultaneously sell 370 call at Rs 6.3
Lot Size: 2,700
Cost of the strategy: Rs 7 (Rs 18,900 per strategy)
Maximum profit: Rs 35,100 If Tata consumer closes at or above 357 on May expiry)
Break-even point: Rs 357
Also Read
Rationale:
-- Long build-up is seen in the Tata consumer Futures’ where we have seen 8 per cent (Prov) rise in the Open Interest with price moving up by 1.7 per cent.
-- Primary trend of the stock is positive where stock price is trading above its 200-day SMA
-- Stock price is taking support at 20-day EMA since last two days
-- RSI Oscillators is placed around 60 while MACD is trading above the central line Indicating bullish set ups
Disclaimer: Nandish Shah is a Technical & Derivative Analyst at HDFC Securities. Views are personal.
One subscription. Two world-class reads.
Already subscribed? Log in
Subscribe to read the full story →*Subscribe to Business Standard digital and get complimentary access to The New York Times
Smart Quarterly
₹900
3 Months
₹300/Month
SAVE 25%
Smart Essential
₹2,700
1 Year
₹225/Month
SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months
Super Saver
₹3,900
2 Years
₹162/Month
Subscribe
Renews automatically, cancel anytime
Here’s what’s included in our digital subscription plans
Exclusive premium stories online
Over 30 premium stories daily, handpicked by our editors
Complimentary Access to The New York Times
News, Games, Cooking, Audio, Wirecutter & The Athletic
Business Standard Epaper
Digital replica of our daily newspaper — with options to read, save, and share
Curated Newsletters
Insights on markets, finance, politics, tech, and more delivered to your inbox
Market Analysis & Investment Insights
In-depth market analysis & insights with access to The Smart Investor
Archives
Repository of articles and publications dating back to 1997
Ad-free Reading
Uninterrupted reading experience with no advertisements
Seamless Access Across All Devices
Access Business Standard across devices — mobile, tablet, or PC, via web or app
SAVE 25%