F&O Strategy by Bhavin Desai, Head of Derivative Research
HDIL is in short-short unwinding cycle and has added fresh shorts in the second half of the week sustaining below 65, opens up fair bit of downside for the stock.
By ET Bureau | Updated:
FUTURES
Buy 1 Lot Dec 60 PE Sell 1 Lot Dec 57.5 PE Target Profit 5500
HDIL Bear Put Spread
RATIONALE: HDIL is in short-short unwinding cycle and has added fresh shorts in the second half of the week sustaining below 65, opens up fair bit of downside for the stock as there is no meaningful put writing below the same.Considering higher implied volatility OTM bear put spread is recommended.
Buy 1 Lot Dec 60 PE Sell 1 Lot Dec 57.5 PE Target Profit 5500
HDIL Bear Put Spread
RATIONALE: HDIL is in short-short unwinding cycle and has added fresh shorts in the second half of the week sustaining below 65, opens up fair bit of downside for the stock as there is no meaningful put writing below the same.Considering higher implied volatility OTM bear put spread is recommended.
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