The first day of October series ( not exactly the first day but we consider it so) saw NIFTY go to a low of 10850.30. It staged a quick recovery from there but still ended up losing 47 points.
We had two selections BHARTIAIRTEL and HINDPETRO.
The low price for BHARTI PUT 340 was Rs. 5.50 for a very small period of time. Before one could blink, the stock started falling and stayed negative throughout the day and closed lower by 4.7% at Rs. 340.
The PUT is now priced at Rs. 13.50. Most of the readers missed the trade though few of them entered at higher prices.
HINDPETRO fluctuated both ways. It was possible to get PUT 240 at Rs. 6.75 or even lower. It ended the day with minor gain at Rs. 6.90.
For the purpose of P&L record on these pages, I am not considering BHARTIARTL trade.
New Trades :
ZEEL ( Zee Entertainment Ltd) made the new 52 week low on Friday at Rs. 429.20.
The trend in this stock has been negative for last one month. Currently it is trading near Rs. 440.
PUT 400 does not have too many contracts at this time ( low volumes ), it would be prudent to go for PUT 420 at Rs. 8.00-9.00.
M&M: ( Mahindra & Mahindra Ltd)
This stock is also in a down trend and the automobile sector on the whole is exhibiting weakness.
Current price of this stock is Rs. 864 and we can go for PUT 820 for Rs. 12-13.
These two trades along with the earlier trade in HINDPETRO will take our trades to 3 for the October series.
Trade cautiously, trade profitably.
Disclaimer: This post and examples are for teaching purpose only and are not meant as advice/suggestion to trade in these stocks. Trading in Futures and Options can lead to big losses and should be done with appropriate knowledge and advice only. Mentioning the stocks here does not imply that I have a trading position or likely to take a trade in these stocks.