Options Strategy

Options Strategy for 19th March 2008

Nifty is likely to gap up at 4720 but would it able to hold up there as to be seen,
Going by the situation right now I opine that post gap up opening it would correct to 4670 and would not break down to give up all the gap as of today.
a) Nifty 4600 Call could be bought at 120 -130 range for a Target of 180. Stop loss could be placed at 110, ideally what one can do is if it drops below 120 (by any chance) sell off and buy at any rise above 120.
b) Nifty 4600 put could be traded in the range of 60 – 80, stop loss could be placed at drop below 60 and any rise above 90 (by any chance) could lead to 120.

Now Options Strategy for Short – term with minimal losses and minimal profit but high probability of Profit
a) Nifty 4600 March Put Could be sold at 60 -70 and Nifty 4300 April Put could be bought at near about 80, while Nifty 4900 March Call could be sold at 30 -35 while Nifty April 5200 Call could be bought at 60 -65. If Near months Options Remain out of Money Next month Options would be near about free of cost.