HDFC Bank is set to announce its quarterly results on 21st april. So some action and volatility can be seen in the coming week in this stock.
By seeing the chart we can take the trade at the start of the week as below.
The strategy whether to BUY / Sell will be based on the price open and close of the first hour on 10th April or any hourly close later in the day if it is within the current range in the opening hour so stay tuned.
The strategy would be BUY if it closes above 1445 with a SL at 1418 Target 1472/1499
The strategy would be SELL if it closes below 1418 with a SL at 1445 Target 1393/1366
If you want to play both sides then you can initiate an Long vega option strategy on Monday as follows
BUY HDFC BANK APRIL 1460 CE at 9-11
BUY HDFC BANK APRIL 1400 PE at 5-7
Put a Stop loss at combined premium eroding 30% i.e combined premium falling below 12 which is currently at 11+7 =18
Target for booking profit can be 30-40% profit from current levels of 18 which is around 24-25 levels as Initial Profit booking levels
This option Strategy is 1:1 Risk Reward Tradeoff!
By seeing the chart we can take the trade at the start of the week as below.
The strategy whether to BUY / Sell will be based on the price open and close of the first hour on 10th April or any hourly close later in the day if it is within the current range in the opening hour so stay tuned.
The strategy would be BUY if it closes above 1445 with a SL at 1418 Target 1472/1499
The strategy would be SELL if it closes below 1418 with a SL at 1445 Target 1393/1366
If you want to play both sides then you can initiate an Long vega option strategy on Monday as follows
BUY HDFC BANK APRIL 1460 CE at 9-11
BUY HDFC BANK APRIL 1400 PE at 5-7
Put a Stop loss at combined premium eroding 30% i.e combined premium falling below 12 which is currently at 11+7 =18
Target for booking profit can be 30-40% profit from current levels of 18 which is around 24-25 levels as Initial Profit booking levels
This option Strategy is 1:1 Risk Reward Tradeoff!
This Strategy gave a profit of 25000+ / lot after the event!
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