Unlock the potential of your trades in January 2024 with our expertly curated recommendations. Dive into a month of strategic investment decisions and maximize your market gains.
Recommendations -4 31st Jan'24
In order to take advantage of the current market situation, one can deploy a Bull Put Spread strategy in DRREDDY by buying 1 lot of 5,800 PUT option around 58.60 and hedging the same by selling 1 lot of 5,850 PUT around 71.95, both 29th February expiry. The capital required to deploy this strategy is around 40,000. The maximum profit in this strategy is 1,669 while the maximum loss is 4,581. However, the loss will start only upon price of DRREDDY going below 5,836. The strategy will result in profit if DRREDDY trades above 5,836 as on 29th February (monthly expiry).
Recommendation – DRREDDY (Bull Put Spread Strategy)
Contract – DRREDDY Bull Put Spread 29th Feb 2024
PUT 5,800 – Buy @ 58.60 (1 lot)
PUT 5,850 – Sell @ 71.95 (1 lot)
Max Profit – 1,669/-
CMP – 6,082
Max Loss – 4,581 (Loss only below 5,836)
Breakeven – 5,836/-
Margin Required – 40,000/-
Probability of Profit (POP) – 75%
Steps to execute the above-mentioned option strategy through Samco app and web:
1. Add 5,800 & 5,850 PUT option in your watchlist
2. Place the 5,800 PUT buy order first and wait until its executed.
3. Place the 5,850 PUT SELL order next and wait until its executed.
4. Once both the orders are executed, you will find the same in the positions tab.
5. While squaring off the positions, exit the 5,850 PUT sell order first from the position tab followed by 5,800 PUT buy option.
Based on the price action structure and the option chain data, the view for DRREDDY is moderately bullish. The strategy will be in profit if DRREDDY trades above 5,836 at expiry (29th February). The strategy has 75% chance of ending up in profit. It is advisable to exit the position if DRREDDY gives a strong close below 5,836 levels.
Disclaimer - https://sam-co.in/6j
Research Analyst - Ashwin Ramani
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Recommendations -3 30th Jan'24
In order to take advantage of the current market situation, one can deploy a Bull Call Ladder Spread strategy in LICHSGFIN by buying 1 lot of 635 CALL option around 18.8 and hedging the same by selling 1 lot of 650 CALL around 13.75 & selling 1 lot of 695 CALL around 5.25, all 29th February expiry. The capital required to deploy this strategy is around 1,60,000. The maximum profit in this strategy is 30,400 while the maximum loss is unlimited. However, the loss will start only upon price of LICHSGFIN going above 710. The strategy will result in profit if LICHSGFIN trades below 710 as on 29th February (monthly expiry).
Recommendation – LICHSGFIN (Bull Call Ladder Spread Strategy)
Contract – LICHSGFIN Bull Call Ladder Spread 29th Feb 2024
CALL 635 – Buy @ 18.8 (1 lot)
CALL 650 – Sell @ 13.75 (1 lot)
CALL 695 – Sell @ 5.25 (1 lot)
Max Profit – 30,400/-
CMP - 615
Max Loss – Unlimited (Loss only above 710)
Breakeven – 710/-
Margin Required – 1,60,000/-
Probability of Profit (POP) – 97%
Steps to execute the above-mentioned option strategy through Samco app and web:
1. Add 635, 650 and 695 CALL option in your watchlist
2. Place the 635 CALL buy order first and wait until its executed.
3. Place the 650 & 695 CALL SELL order next and wait until its executed.
4. Once both the orders are executed, you will find the same in the positions tab.
5. While squaring off the positions, exit the 650 & 695 CALL sell order first from the position tab followed by 635 CALL buy option.
Based on the price action structure and the option chain data, the view for LICHSGFIN is moderately bullish. The strategy will be in profit if LICHSGFIN trades below 710 at expiry (29th February). The strategy has 97% chance of ending up in profit. It is advisable to exit the position if LICHSGFIN gives a strong close above 710 levels.
Disclaimer - https://sam-co.in/6j
Research Analyst - Ashwin Ramani
Trade Now -->
Recommendations -2 29th Jan'24
In order to take advantage of the current market situation, one can deploy a Bull Call Ladder Spread strategy in NATIONALUM by buying 1 lot of 152 CALL option around 5.9 and hedging the same by selling 1 lot of 160 CALL around 3.75 & selling 1 lot of 162 CALL around 3.3, all 29th February expiry. The capital required to deploy this strategy is around 1,80,000. The maximum profit in this strategy is 68,625 while the maximum loss is unlimited. However, the loss will start only upon the price of NATIONALUM going above 171. The strategy will result in a profit if NATIONALUM trades below 171 as on 29th February (monthly expiry).
Recommendation – NATIONALUM (Bull Call Ladder Spread Strategy)
Contract – NATIONALUM Bull Call Ladder Spread 29th Feb 2024
CALL 152 – Buy @ 5.9 (1 lot)
CALL 160 – Sell @ 3.75 (1 lot)
CALL 162 – Sell @ 3.30 (1 lot)
Max Profit – 68,625/-
CMP - 144
Max Loss – Unlimited (Loss only above 171)
Breakeven – 171/-
Margin Required – 1,80,000/-
Probability of Profit (POP) – 96%
Research Analyst - Ashwin Ramani
Trade Now -->
Recommendations -1 25th Jan'24
In order to take advantage of the current market situation, one can deploy a Bear Call Spread strategy in RBLBANK by buying 1 lot of 310 CALL option around 2.55 and hedging the same by selling 1 lot of 285 CALL around 6.05, both 29th February expiry. The capital required to deploy this strategy is around 80,000. The maximum profit in this strategy is 8,750 while the maximum loss is unlimited. However, the loss will start only upon the price of RBLBANK going above 289. The strategy will result in a profit if RBLBANK trades below 289 as of 29th February (monthly expiry).
Recommendation – RBL BANK (Bear Call Spread Strategy)
Contract – RBLBANK Bear Call Spread 29th Feb 2024
CALL 310 – Buy @ 2.55 (1 lot)
CALL 285 – Sell @ 6.05 (1 lot)
Max Profit – 8,750/-
Max Loss – Unlimited (Loss only above 289)
Breakeven – 289/-
Margin Required – 80,000/-
Probability of Profit (POP) – 85%
Research Analyst - Ashwin Ramani
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