BULL SPREAD Technique on L&T
Purchase L&T (25-August Expiry) 1900 CALL at Rs 23 & concurrently promote 1920 CALL at Rs 15
Lot Dimension 300
Value of the technique Rs 8 (Rs 2,400 per technique)
Most revenue Rs 3,600 if L&T closes at or above Rs 1,920 on 25 August expiry.
Breakeven Level Rs 1,908
Approx margin required Rs 22,000
Rationales:
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We’ve got seen lengthy construct up within the L&T futures, the place we have now seen 9 per cent addition (Prov) in Open Curiosity with worth rising by 2 per cent.
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The inventory worth has damaged out on the day by day chart with greater volumes the place it has closed at highest degree since 10 February 2022.
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Momentum Oscillators just like the RSI(11) and MFI(10) are in rising mode and positioned above 60 on the day by day chart, indicating power within the present uptrend.
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Plus DI is buying and selling above minus DI whereas ADX line is positioned above 25, indicating momentum within the present uptrend.
Disclaimer: Nandish Shah is Technical Analysis Analyst at HDFC Securities. He does not maintain any place within the inventory. Views are private.
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