I am holding 24th November expiry Nifty 18200 CE bought for ₹85. Please advise me what would be my next steps. Should I hold or sell at what price? – Kishore Babu
Although the broader trend is up, the likelihood of the Nifty 50 witnessing a minor drop from the current level looks high. Particularly, since there is more call writing than put selling with respect to November 24th expiry, the chances for recovery of the option that you hold is slim. So, we advise you to exit the position. The 18200 CE closed at ₹76 on Monday.
As charts indicate, the spot Nifty 50 index could decline to 18,000 before recovering. If at all there is a recovery in this week, it could be limited to 18,200.