F&O Radar| Deploy Bull Call Spread in Nifty to play index bullishness amid mkt volatility
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The Nifty index opened on a positive note on Tuesday and, after sinking to 25,450 levels in the first half of the session, later recovered unilaterally and established a bullish stance. Smart buying was seen at lower levels, and the index crossed the 25,700 zone to close near its higher band with gains of around 120 points. It formed a bullish candle on the daily frame with a longer lower shadow and has started to form higher highs over the last two sessions. “Now, it (the index) has to hold above the 25,650 zone for momentum to continue towards 25,800, and then 25,950 zones, while supports have shifted higher to 25,550, followed by 25,450 zones,” noted Chandan Taparia, Head Derivatives & Technicals, Wealth Management at Motilal Oswal. On the options front, Taparia noted that the maximum Call Open Interest (OI) is seen at the 25,700 and 25,800 strikes, while the maximum Put OI is at the 25,600 and 25,000 strikes. Call writing has been...