TVS MOTOR and POWERGRID

NIFTY is in down trend.
As per OI analysis support seems to be at 7420-7430.

PCR is 0.88 also suggests some downside is possible. PUTs are unwinding, FIIs are selling and hence NIFTY will slide to some extent.

Two stocks still looks promising for the month.

TVS MOTOR

Buy 290 CALL around  6.65 and sell 310 CALL at around 1,65.
Maximum profit Rs. 30000/-, maximum loss Rs. 10000/-

RSI is above 50 in all time-frames. It has given breakout in daily chart. Stock is trading above 60 days EMA.
Resistance could be around 305 based on OI analysis of the stock, The long time trend line resistance is around 307.
PCR is about 0.65 and indicates reversal up to at least 305-307.

Target: 305-307

POWERGRID

Buy Future and sell PUT of 140 strike price.
Maximum loss could be about Rs. 12000/-

RSI above 50 in all time frames and breakout in daily time frame.
PCR is 0.24. This is unusually low.
IVs of CALLs are higher than IVs of PUTs. This is also very uncommon and suggests reversal.

Retracement target is around 148-149.


Disclaimer: This blog does not take any responsibility of your profit/loss