Aurobindo Pharma: Would the bleeding stop???Aurobindo Pharma
CMP 740
- In the last month and a half, the stock has taken a lot of beating and has been down and out...
- since 18 Aug the stock has climbed slowly and steadily
- the stock has seen resistance exactly near 20 day EMA
Momentum might be seen once closes above 760.
The zone of 738-712 if held on to may provide a back bone for further recovery towards 800-826 levels
Time frame: Mid Oct - Nov beginning
ROI potential: 10% approximately
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F&O Strategy
One may consider selling 28 Oct expiry 700 Put option currently around 17-18
Max profit potential 11700/- per lot
Yield potential approximately 9.5% on margin requirement till 28 Oct
The strategy has in built loss protection for a fall up to 682.
Do note the last time a trade was recommended in the Aurobindo, it did not work very well. It triggered SL and had to take a hit 😒
So do your due diligence
Take care & safe trading....!!!
Disclaimer
- The view expressed here is my personal view
- Past performance is not a guarantee for future predictions
- Use this for educational purpose
- Any decision you take, you need to take responsibility for the same
- It's your hard earned money. Treat it wisely
- Trade / Invest keeping in mind your trading style, goals and objectives, time horizon & risk tolerance
- if trading in F&O, understand that F&O trading involves risk
- Do take proper risk management measures
- Do your own analysis and consult your financial adviser if need be
