VK Sharma advises bull spread in Indraprastha Gas

Written By Unknown on Jumat, 12 September 2014 | 14.02

VK Sharma of HDFC Securities recommends a bull bull spread in Indraprastha Gas wherein one can buy 410 Call and sell the 430 Call.

VK Sharma of HDFC Securities told CNBC-TV18, " Indraprastha Gas (IGL) is a clear-cut beneficiary of the government. This company is going to make money and it is very evident in the current series, it has gone up by 10 percent and Open interest (OI) also has been added by 30 percent."

"My strategy would cap the gains at around Rs 430 or so, so I am suggesting a bull spread here. You can buy the 410 Call and sell the 430 Call, your cost would come to Rs 16 and may be you can make a profit of Rs 14," he said.


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