Positional Buy - Investment

May 25, 2019

Stock had underperformed the index since last 10 years and was consolidating between 320-150 range. Finally, stock has given a multiyear channel breakout above its crucial resistance zone of 320-350 with volume. RSI on weekly charts have crossed 60 mark indicating bulls are in power. Weekly closing above 350 mark is indicating that SBIN is getting ready for a decisive up move. New government is likely to work on financial reforms and the PSU major is likely to outperform in coming years. Government and RBI is strongly acting to recover bad loans and reduce NPA. Going forward stock may seen more buying momentum. Long term investors may think of having this PSU major in their portfolio with 1-2 year outlook. Hedgers may apply covered call approach for assured 2.5-3% monthly return. Swing traders may apply bull call spread for June series.

May 25, 2019

Note

Comment: Comment: Disclaimer: Objective of this post is to educate and help all members earn profit from trading. I am not a SEBI registered analyst and strongly recommend people not to trade in NSE/BSE/MCX market basis above recommendations. All the stock picks are momentum picks chosen using technical indicators and for education purpose only. I am not responsible for profit and losses or SEBI audits arising out of the above calls. Stock market trading and investment is subject to market risks. Contact your financial advisor before taking trades or trade at your own risk.

May 25, 2019

Note

Option traders may adopt below ratio spread. However it needs adjustment above 375.

+1x 27JUN2019 340CE - ₹ 25.8
-3x 27JUN2019 370CE - ₹ 8.8
Max. Profit ₹ Undefined
Max. Loss ₹ Undefined (Spot > 385)
Breakevens 0-385.3 (Net Credit Spread)

May 25, 2019

Note

You can track the payoff graph and live performance of the above spread using the below link.

opstra.definedge.com/strategy-builder/public/5ce985cd3dcfd40350b0dfbd

Jul 20, 2019

Note

Gave good 67k profit at the end of expiry