Derivative Strategy on NMDC by HDFC Securities

Derivative Strategy on NMDC by Devarsh Vakil & Nandish Shah - PCG Desk at HDFC Securities:

Buy NMDC Sept Future at 137.4

Stop loss of Rs 134

Target Rs 143

Rationale:

• We have seen long positions being built in NMDC futures today where their open interest rose by over 5%.
• NMDC  has recently raised its product prices by over 8%
• Momentum Indicators and oscillators are Indicating strength in the stocks
• Metal as a sector is outperforming since last many months where Nifty Metal Index is trading at six years high