Buy Apollo Tyres 90 Call, says VK Sharma

Sharma told CNBC-TV18, “Apollo Tyres is the stock which has consistently done well and options are slightly liquid here. I think we did see positions being added to the extent of 5%, also the price went up. The best way to look at Apollo Tyres now would be to buy the 90 call at around Rs 0.50.”

He further added, “I am hoping that the stock would be available at a price which is lower than yesterday. So that’s the strategy which we had applied in all the recommendations that I have today and that should be seen that you don’t buy stocks at those levels. You buy these stocks at levels which were lower than yesterday. So Apollo Rs 0.50 is something one can afford to risk at.”

“Among the PSU Banks that has done well and positions were also added. It closed at 725. What I am suggesting is that you buy the 720 call at around Rs 14 that is at substantial discount to where it closed, keep a stop loss of Rs 10 and hope to make Rs 15 on this. So that’s the strategy and similarly in IDFC , a stock which has been liked by other analysts I think buying the 130 call at Rs 0.50 is what I suggest.”