The short trading week with next 5 days as holiday will see low volumes & subdued participation. Expect another slow range-bound day with stock specific movement.
For today we are suggesting 1 buy/sell call for next 3/4 days:
1) Buy ONGC @ Rs 405-Rs 410, stop loss Rs 396, target Rs 441
2) Sell Cairn India @ Rs 311-Rs 314, stop loss Rs 320, target Rs 296
We also suggest booking profit in the yesterday pair trade where long Colgate almost met our target & gave gains of 5% while short Hindunilever closed down 0.25%.
We also hold our option "short strangle' on Bank Nifty as under:
Sell Bank nifty 16000 call @ Rs 150-Rs 155
Sell Bank Nifty 15000 put @ Rs 130-Rs 135
Total premium earned Rs 280-Rs 285
Look for reduction in volatility & buy around Rs 120-Rs 125 as time series plays out.