HDFCLife is currently following range bound fibonacci levels. If it closes above the baseline (Greenline) 572 next week for couple of sessions with green candle, it is likely to reach 610 -615 and expected to come down. 525-530 levels.
Being first week of month, it can be supported by put options of 540 level.
Suggested potential opportunity (subject to market risk).
buy HDFCLife if closes above 572 supported by 540-560 put. Nearest one with premium not extending beyond (2-3%) which is below. 1SD Currently 1SD is about 3-4%. Based on ongoing volatility one can expect2-5% return. Expected holding period 10-15 trading sessions.
HDFCLIFE
use stop loss and % profit to book according to individual risk taking and management capabilities.
Example trade taken as of 30jun:
HDFCLife 1 lot (1100 shares) @ 552Rs
HDFCLife 540 put @ 15 Rs.
Unrealised gain/loss - 5*1100 = 5500 gain.
Investment: 16500 for put + about 150K for margin.
Expected holding period: 18 to 22 July.
Note: Above idea is for knowledge sharing and not a recommendation to buy or sell. It is upto each individual to make that decision. Writer of above idea does not take any responsibilities for profit or losses and not liable for any losses made by others based on above idea .
Being first week of month, it can be supported by put options of 540 level.
Suggested potential opportunity (subject to market risk).
buy HDFCLife if closes above 572 supported by 540-560 put. Nearest one with premium not extending beyond (2-3%) which is below. 1SD Currently 1SD is about 3-4%. Based on ongoing volatility one can expect2-5% return. Expected holding period 10-15 trading sessions.
HDFCLIFE
use stop loss and % profit to book according to individual risk taking and management capabilities.
Example trade taken as of 30jun:
HDFCLife 1 lot (1100 shares) @ 552Rs
HDFCLife 540 put @ 15 Rs.
Unrealised gain/loss - 5*1100 = 5500 gain.
Investment: 16500 for put + about 150K for margin.
Expected holding period: 18 to 22 July.
Note: Above idea is for knowledge sharing and not a recommendation to buy or sell. It is upto each individual to make that decision. Writer of above idea does not take any responsibilities for profit or losses and not liable for any losses made by others based on above idea .