I purchased United Spirits 1600-put possibility (Jan expiry) for ₹29. I’m in revenue now. Will the share worth fall additional? Shall I maintain or exit at present worth? – Nelson
United Spirits (₹1,540): The inventory, which has been in a long-term uptrend, has seen a pointy fall in worth in latest periods. Though it’s a counter-trend commerce, you’ve gotten timed it effectively and capitalised on the autumn by shopping for a put possibility.
That stated, from the present degree, the inventory of United Spirits has a key help at ₹1,525. The 50-day transferring common and a trendline coincide at this worth degree, making it a powerful base. Additionally, as talked about above, the broader pattern is bullish. So, the help at ₹1,525 may set off an upmove.
Contemplating the above components, we propose exiting the 1600-put possibility with a revenue, whose premium is presently at ₹65. You could think about shopping for places once more if the bottom at ₹1,525 is breached.
Ship your queries to derivatives@thehindu.co.in
