Date: 18/09/2014 Share Name: SUN PHARMA CMP: 792.50
Strategy: Bear Put Spread.
a) Buy 1 lot of 790 PUT of SUN PHARMA of Sep Expiry for around Rs. 15.6.
b) Sell 1 lot of 770 PUT of SUN PHARMA of Sep Expiry for around Rs. 8.
Profit Target: Rs. 3,000 Stop Loss: Rs. 1,500 (Both in absolute term.)
Reason: Today Sun Pharma has given a breakout on the downside by closing below its 50 days moving average. We will play for the downside by using Bear Put spread strategy. If at the last day of September expiry, Sun Pharma closes at 770 or below it then this strategy will make the maximum profit of Rs. 6200.
Advisory: Please Trade at your own risk.
Strategy: Bear Put Spread.
a) Buy 1 lot of 790 PUT of SUN PHARMA of Sep Expiry for around Rs. 15.6.
b) Sell 1 lot of 770 PUT of SUN PHARMA of Sep Expiry for around Rs. 8.
Profit Target: Rs. 3,000 Stop Loss: Rs. 1,500 (Both in absolute term.)
Reason: Today Sun Pharma has given a breakout on the downside by closing below its 50 days moving average. We will play for the downside by using Bear Put spread strategy. If at the last day of September expiry, Sun Pharma closes at 770 or below it then this strategy will make the maximum profit of Rs. 6200.
Advisory: Please Trade at your own risk.