Web special: Wipro stock futures witness unwinding of longs
Check out the F&O trends and strategies for select stocks with Shshank Mehta, Derivatives Strategist at Shah Investors' Home
SmartInvestor : Markets seems to be facing tough resistance at current levels. What is your call on the Nifty for Oct options expiry?
Shshank Mehta : We observe Nifty Futures facing strong resistance at 6225 levels. We believe that any reversal will take strong support at 6080 levels and we therefore expect Oct%u201913 expiry to be around 6100 levels. This view is in tandem with Nifty Options data where we observe relatively higher confidence in writing Puts at 6100 strike.
SmartInvestor : Wipro has witnessed profit taking today after recent gains. Is there unwinding of long positions in the stock? What is your call for Oct futures expiry?
Shshank Mehta : Yes there has been long unwinding due to which we saw the stock futures cooling off from its recent rally. We believe that WIPRO will again become a BUY on a decisive close above 515. Till then traders with a bullish view or holding long positions should be prudent in booking profits in WIPRO.
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