Buy Manappuram Fin Sept 160 CALL at Rs 4.75 & simultaneously sell 170 Call at Rs 1.75
Cost of the strategy Rs 3 (Rs 18000 per strategy)
Maximum profit Rs 42000 If Manappuram fin closes at or above 170 till September expiry.
Long build up is seen in the Manappuram fin Futures’ where we have seen 7% (Prov) rise in the Open Interest with Price closing flat.
After breaking out from the downward slopping trendline on 11th Sept, Stock price is consolidating in the narrow range which is a buying opportunity
Primary trend of the stock is positive where stock price is trading above its 200-day SMA
Oscillators like RSI & MFI are showing strength in the stock
+DI is trading above Minus DI while ADX is placed above 20, indicating strength in the uptrend
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Disclaimer: Nandish Shah is Technical Research Analyst at HDFC Securities. He doesn't hold any position in the stock. Views are personal.
 "Primary trend of the stock is positive where stock price is trading above its 200-day SMA")