The bullish outlook will remain intact for YES Bank ( ₹339.95) as long as it stays above ₹308. The stock finds a major support at ₹287, and only a close below it would trigger a fresh fall in the stock. Immediate resistance is at ₹350. A break above it can take the stock higher to ₹372 — the next key resistance level.
F&O pointers: The YES Bank futures contract trades at a discount with respect to the spot close of ₹342.70 due to the dividend payment of ₹2.70 per share for which the ex-date is June 4. YES Bank June futures added 14.35 lakh shares on Friday along with fall in share price. Option trading indicates that the stock could move in the ₹330-350 range.
To make the position profit, YES Bank has to move past ₹357.65 comfortably. Book profits if YES Bank touches ₹372 and exit with losses if the stock dips to ₹330. We advice traders to hold the position for at least two weeks.
Trades with high risk-taking ability can buy YES Bank futures contract, with an initial stop loss at ₹330. Move the stop-loss higher to ₹350 once the stock moves past that level. Traders can aim for an initial target of ₹410.
Follow-up: Hold SBI call option