 "NSE, NATIONAL STOCK EXCHANGE")
Nifty strategy:
- Strategy: Nifty Bull Call Spread
- Expiry: 29 MAY 2025
- Strikes: Buy 24,600CE and Sell 24,900CE
- Net Outflow: ~105
- Stop Loss: 50
- Strategy Target: 200
Rationale:
- Markets fell sharply on Thursday, with broad-based selling led by IT, FMCG, and Energy sectors. The recent pullback seen over the past few days is likely due to overstretched technical indicators.
- The main trend remains positive above the key support of 23,935, while the 24,450–24,380 region is a crucial support area. The ongoing correction could offer a buying opportunity within the broader uptrend and move above 24,750 reigniting upward momentum back towards 25,000–25,100.
- Given the prevailing volatility and the presence of clearly defined support and resistance levels, a 'Bull Call Spread' is an optimal strategy.
- It offers limited risk with a favourable reward-to-risk ratio, aligning with expectations of a moderate rebound.
(Disclaimer: This article is by Sahaj Agrawal, senior vice president, head of derivatives research, Kotak Securities. Views expressed are his own.)
 "BSE, NSE, Stock Market, Market")
 "indigo airlines, indigo")
 "Tuhin Kanta Pandey, Chairman, SEBI, Securities and Exchange Board of India")
 "Power grid")
 "Tuhin Kanta Pandey, Chairman, SEBI")
