Derivative strategy on Voltas by Sacchitanand Uttekar of MOSL

Derivative strategy on Voltas by Sacchitanand Uttekar, Equity Technical Analyst & PFA at MOSL:

Option Strategy:

Ratio Call Spread: Voltas

Buy 350 CE 1 lot

Sell 370 CE 2 lots

Target: Rs 10000

SL: Rs 3000

Rationale:

Voltas had witnessed strong accumulation in Open interest in Futures in past few trading sessions

Put built-up at 330 act as a strong support, while call unwinding at 340 could lead to option triggers

Considering few days to expiry and to benefit from theta decay, Ratio Call Spread is recommended

Disclaimer: Motilal Oswal Securities ( MOSL ) is regulated by the Securities and Exchange Board of India ("SEBI") and is licensed to carry on