Larsen & Tubro (NSE:LT) has moved from 800 on Oct, 07 to 963 on Oct, 24. I hope the trend would continue next week. To profit most from the trend I suggest to purchase 920 Call @ 46.00. This is a high delta of 82. The call will be held for 1 week. Additional purchases may be done, if the price falls next day.
ICICI bank has moved from 893 on Oct, 07 to 1020 on Oct, 24. I hope the bank stays above 1020. So i suggest the following trades.
BUY 1000 CALL @ 36.00
SELL 1020 CALL @ 26.00
ICICI bank has moved from 893 on Oct, 07 to 1020 on Oct, 24. I hope the bank stays above 1020. So i suggest the following trades.
BUY 1000 CALL @ 36.00
SELL 1020 CALL @ 26.00
The trade is 10 profit/10 loss. The position will be held till expiration next week.
What will be margin requirement for each trade?
ReplyDeleteThe investment for the first trade is 46*375=17250.
DeleteThe margin for the second trade is 10*20%*250=500. And the investment is 10*250=2500. A potential profit of 2500.