Bull spread strategy on Jubilant Food by Nandish Shah of HDFC Securities

Jubilant FoodWork's stock price is forming bullish higher top, higher bottom formation on the weekly and monthly charts

Buy JUBILANT FOODWORKS JUNE 3300 CALL at Rs 87 & simultaneously sell 3500 CALL at Rs 37

Lot size: 250

Cost of the strategy: Rs 50 (Rs 12,500 per strategy)

Maximum profit: Rs 37,500 if Jubilant FoodWorks closes at or above 3,500 on 24 June expiry.

Breakeven point: Rs 3.350

Rationale:

-- We have seen long build-up in the Jubilant FoodWorks Futures till now during the June series where we have seen 13 per cent rise in the Open Interest with price rising by 3.5 per cent

-- The stock price has broken out on the daily line chart by