Web special: Tata Steel may slip to Rs 390 levels in Dec expiry

Check out the F&O trends and strategies for select stocks with Nitin Murarka, Head-Derivatives, SMC Global

Check out the F&O trends and strategies for select stocks such as Tata Steel, McDowell, Lupin, Titan, Wipro with Nitin Murarka, Head-Derivatives, SMC Global:

SmartInvestor : Markets continue to witness profit taking at higher levels as investors remain cautious ahead of the FOMC and RBI policy meets early next week. What is the broad range for the Nifty for December and your take on the Nifty for Dec futures expiry?

Nitin Murarka : Nifty is currently trading near support which is around 6145-6160 spot level. Market should bounce from current level for the target of 6260 in 2-3 trading session. As per Nifty option concentration put writers are active at 6000 strike put and call writers are active at 6300 and 6400 strike call. Hence going forward 6300 will act as strong resistance. I see Nifty December futures expiring in the range of 6000-6300.

SmartInvestor : Tata Steel is among the active stocks in the options segment today. The steel major is witnessing correction after topping out above Rs 420 levels. What is your call on the stock for Dec options expiry?

Nitin Murarka : After election results long liquidation and short buildup was observed in the steel sector. And also delivery based selling is seen in the cash market. Hoverever Tisco has not corrected significantly. Recent fall has been observed with greater volume. It indicates further weakness in the stock. Stock has ressistance around 425 levels. Tata steel should further fall to the level of 390 in the December expiry. Today 410 and 400 puts are very active and trading with higher volume. I would recommend buying 410 put trading around Rs 8.00

For detailed transcript please CLICK HERE