Kotak Bank: Chart set up & trading strategy

2021年7月3日

Kotak Mahindra Bank

Observations:

- On the upper side 1804-1825 levels has acted as resistance

- 20 day EMA is around 1773
- 50 day EMA is around 1707

- The yellow zone has acted as a major resistance back in Dec 2019 - Feb 2020
- Now it is consolidating near the same levels

For Cash buying consider buying in 2 tranches
- one at current levels and 2nd
- on Any further dips towards the blue line currently around 1615. The risk::reward ratio looks very favorable near the blue line.

Target 1820 / 2030 / 2240 / 2412

Follow the blue line as you guiding line...

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F&O Strategy for July month
Given the chart set up, strategy suggested in Kotak Mahindra Bank for July month: Iron Condor strategy

It is a combination of 4 lots (2 for Call option and 2 for Put option)

Sell 1800 Call Option around 20

Buy 1840 Call Option around 11


Sell 1680 Put Option around 24

Buy 1640 Put option around 13

Net credit approximately 20 points

Lot size:400

The strategy has a yield potential of approximately 12.8% on margin requirement

Loss in strategy if closing on 29 July is below 1660 or above 1820.
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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