Date: 12/10/2014 Share Name: Nifty CMP: 7860
Strategy: Bear Put Spread.
a) Buy 1 lot of 7900 Put of Nifty of Oct Expiry for around Rs. 103.
b) Sell 1 lot of 7700 Put of Nifty of Oct Expiry for around Rs. 38.
Profit Target: Rs. 4.000 Stop Loss: Rs. 1,500 (Both in absolute term.)
Reason: Currently Nifty is looking a little weak and also trading below 50 DMA and 15 DMA moving averages .So we would recommend a Bear Put Spread strategy on nifty. If at the last day of expiry, Nifty closes at or below 7700 then this strategy will make the maximum profit of Rs. 6750 and the maximum risk this strategy carrying will be around Rs 3250.
Advisory: Please Trade at your own risk.
Strategy: Bear Put Spread.
a) Buy 1 lot of 7900 Put of Nifty of Oct Expiry for around Rs. 103.
b) Sell 1 lot of 7700 Put of Nifty of Oct Expiry for around Rs. 38.
Profit Target: Rs. 4.000 Stop Loss: Rs. 1,500 (Both in absolute term.)
Reason: Currently Nifty is looking a little weak and also trading below 50 DMA and 15 DMA moving averages .So we would recommend a Bear Put Spread strategy on nifty. If at the last day of expiry, Nifty closes at or below 7700 then this strategy will make the maximum profit of Rs. 6750 and the maximum risk this strategy carrying will be around Rs 3250.
Advisory: Please Trade at your own risk.