Option Strategy
NIFTY BANK: BULL CALL SPREAD – 28th Sept – Monthly Expiry
BUY BANK NIFTY 24700 CALL @ 230
SELL BANK NIFTY 25000 CALL @ 120
RATIONALE
1. It has given a consolidation breakout above 24500 zones
2. Fresh Put writing is seen at 24500 and 24200 strike
3. Buying interest in most of the heavyweight and built up of long position
4. Call unwinding in 24500 and shift in maximum OI congestion suggests further up move
5. Thus low risk Bull Call Spread is recommended
BEP: 24810
MAX RISK: 110 Points: Rs. 4400
MAX REWARD: 190 Points: Rs. 7600
Disclaimer: The analyst may have positions in any or all the stocks mentioned above.