Friday, 5 October 2012

LARSEN & TOUBRO

There is a hanging man candle formed on larsen and tourbo weekly chart(although it was due to flash crash that happened in nifty today),the weekly RSI(69) and daily RSI(76) are suggesting it is highly overbought so we can expect some correction, trade that one can form is by short selling october 1700 strike call @ 27 and buy back around 16.

2 comments:

  1. LARSEN & TOURBO OCTOBER 1700 STRIKE CALL made a low of 12 and closed @12. Target achieved..:)

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  2. PROFIT FROM SHORT CALL:27-16=11
    1 LOT OF LARSEN AND TOURBO: 250
    MARGIN REQUIRED FOR LARSEN AND TOURBO: 64248
    PROFIT PER LOT:250*11=2750
    PROFIT%:2750/64248*100=4.28%

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