Web exclusive: Maximum Put OI still intact at 6000 strike

Check out the F&O trends in select stocks with Chetan Jain, Deputy Manager -Derivatives Desk, Anand Rathi

Check out the F&O trends in select stocks such as L&T, Yes Bank, ONGC and TCS with Chetan Jain, Deputy Manager -Derivatives Desk, Anand Rathi:

SmartInvestor:Markets have remained in a very narrow range for most part of the trading day. The Nifty has been hovering around 6,060 levels so far, What is your take on the Nifty for Feb options expiry?

Chetan Jain:Nifty future is broadly into pullback phase after taking support from 5950-6000 zone. Till the time it is holding well above this area chances of further pullback cannot be ruled out in coming days. Looking at the option concentration maximum put OI still intact at 6000 strike prices suggesting major support for the series along with PCR OI holding above 1 level supporting the positive biasness in the markets. TO play the bounce back one can go with ratio spread strategy: buy 1 lot 6100 call@75; sell 2 lots 6200 call@35; LBEP: 6105; UBEP: 6295; max risk on downside: 5 points; max reward: 95 points at 6200; traders should keep stop of 6300 on higher side to avoid unlimited risk.

SmartInvestor:Engineering major L&T has been active in the options segment so far. What is your strategy for the stock for Feb options expiry?

For detailed transcript please CLICK HERE