Here's a derivative strategy on RBL Bank by Nandish Shah of HDFC Securities

Buy RBL Bank Oct 150 Put at Rs 9

Lot Size: 2600
 

Stop Loss: Rs 7
 

Target: Rs 14

         

Rationale:

• Short build up is seen in the RBL Bank Futures’ where we have seen 2%(Prov) rise in the Open Interest with Price falling by 5%
   
• Stock price has broken down on the daily chart where it closed below the multiple support of 163 levels
   
• Primary trend of the stock is negative where stock price is trading below its important moving averages.
   

• -DI is trading below +DI while ADX is placed above 25, indicating weakness 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.