Derivative strategy on Reliance by Chandan Taparia of Motilal Oswal Securities:
OPTION STRATEGY: Reliance (Call Ladder Spread)
Buy 1300 CE 1 lot
Sell 1340 CE 1 lot
Sell 1400 CE 1 lot
1. Reliance has been consolidating in last few trading session.
2. Put built-up at 1240-1260 could provide immediate support while unwinding in 1260 CE could propel momentum above 1300.
3. Considering positive bias and to participate bullish momentum, Call Ladder Spread is recommended.
Target: 17,000 between 1340-1400
Stop Loss: Rs. 2,100 below 1,300
Hedge: Buy future above 1,420
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Chandan Taparia is a Deivatives and Technical Analyst at Motilal Oswal Securities.