Shshank Mehta : Markets saw a reversal after facing multiple-peaks during the previous few trading. An acute observation was a cut in Nifty Futures Open Interest which saw a reduction by 45 lakh units -- marking serious long unwinding. Below 6235-6255 band the bias will be negative, as there has been lot of short build-up at these levels. My view will turn bullish only on Nifty Futures giving a decive close above 6290.
SmartInvestor : Infosys has firmed up in late trades. The stock is witnessing activity in the options segment. What is your strategy for the stock for Feb optins expiry?
Shshank Mehta : INFY Options for Feb'14 Series are indicating a certain level of indecisiveness. With IVs of INFY options at 16-18 levels; I recommend traders to buy a strangle -- this can be done by buying a Call at 3800 strike for Rs 53 (at 1.49 pm) and buying a Put at 3700 strike at Rs47 (at 1.50 pm).
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