Derivative strategy on SBI from Motilal Oswal Securities

Here is the derivative strategy for SBI from Sacchitanand Uttekar:

Option Strategy: SBIN (Put Butterfly Spread)

Buy 270 PE 1 lot

Sell 260 PE 2 lots

Buy 250 PE 1 lot

Target   15000                    

SL 3500

 

* SBIN is consolidating in the band of 250-290

* Call concentration at 300 could act as stiff resistance. Unwinding in 270 PE could see stock correcting

* Considering high vols, Put Butterfly Spread  is recommended

Disclaimer: Motilal Oswal Securities ( MOSL ) is regulated by the Securities and Exchange Board of India ("SEBI") and is licensed to carry on the business of broking, depository services and related activities. MOSL is in the process of getting registered under SEBI - Research Analyst Regulations. MOSL, the spokesperson or his relatives, do not have financial interest in the securities mentioned above. The spokesperson has not served as a director, employee or officer at the subject company in the last 12 months. MOSL or its associate might be involved in market making for the subject company or have potential conflict of interest.

Sacchitanand Uttekar is an Equity Technical Analyst at Motilal Oswal Securities    

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