Derivative strategy on ICICI Bank from Motilal Oswal Securities
Option Strategy: ICICI Bank (Ratio Call Spread)
ICICI BANK
Option Strategy: ICICI Bank (Ratio Call Spread)
Buy 1 Lot Apr 245 CE, Sell 2 Lots Apr 255 CE
Target : Rs 11000
Stop Loss : Rs 2500
Rationale: ICICIBANK is in Long- long Unwinding Cycle. Week gone by saw banking sector outperforming Nifty along with increment participation. Unwinding in 240 CE will augur further momentum on upside. In order to benefit from higher theta decay due to truncated weeks ahead and falling volatility, Ratio Call Spread is recommended.
Disclaimer: Motilal Oswal Securities ( MOSL ) is regulated by the Securities and Exchange Board of India ("SEBI") and is licensed to carry on the business of broking, depository services and related activities.Motilal Oswal Securities Limited is registered under SEBI (Research Analysts) Regulation 2014 SEBI Registration No :-INH000000412.MOSL, the spokesperson or his relatives, do not have financial interest in the securities mentioned above. The spokesperson has not served as a director, employee or officer at the subject company in the last 12 months. MOSL or its associate might be involved in market making for the subject company or have potential conflict of interest.
Shubham Agarwal is a head of Quantitative Research, Motilal Oswal Securities
Option Strategy: ICICI Bank (Ratio Call Spread)
Buy 1 Lot Apr 245 CE, Sell 2 Lots Apr 255 CE
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Target : Rs 11000
Stop Loss : Rs 2500
Rationale: ICICIBANK is in Long- long Unwinding Cycle. Week gone by saw banking sector outperforming Nifty along with increment participation. Unwinding in 240 CE will augur further momentum on upside. In order to benefit from higher theta decay due to truncated weeks ahead and falling volatility, Ratio Call Spread is recommended.
Disclaimer: Motilal Oswal Securities ( MOSL ) is regulated by the Securities and Exchange Board of India ("SEBI") and is licensed to carry on the business of broking, depository services and related activities.Motilal Oswal Securities Limited is registered under SEBI (Research Analysts) Regulation 2014 SEBI Registration No :-INH000000412.MOSL, the spokesperson or his relatives, do not have financial interest in the securities mentioned above. The spokesperson has not served as a director, employee or officer at the subject company in the last 12 months. MOSL or its associate might be involved in market making for the subject company or have potential conflict of interest.
Shubham Agarwal is a head of Quantitative Research, Motilal Oswal Securities