Dial in for Bharti Infratel bl-premium-article-image

Updated - January 13, 2018 at 02:55 AM.

1203BhartiInfratel_col

The stock of Bharti Infratel (₹308) is ruling at a crucial level. The stock finds immediate resistance at ₹321. If it is able to close above that level conclusively, the medium-term outlook will turn positive and can take the Bharti Infratel stock to ₹404. On the other hand, the stock finds immediate support at ₹296 and a conclusive close below ₹280 will change the outlook to negative.

F&O pointers: Despite a decent gain on Friday, the counter did not see much accumulation in open interests. Trading in option indicates that the stock may see a strong resistance at ₹320 and support at ₹300.

Strategy: We advice traders to go long on Bharti Infratel futures with a stop loss at ₹296. If the stock opens on a strong note, shift the stop-loss to ₹312. Traders can book profit at ₹321. Alternatively, they can also consider buying ₹320-call on Bharti Infratel that closed at ₹5.15. With market lot being 1,600, total loss could be ₹8,240 — the total premium paid. We advice investors to exit if the loss mounts to ₹5,500 or at a profit of ₹8,500.

Follow-up: Hold on to DLF strategy as suggested last week.

Published on March 12, 2017 14:07