Go long in BHEL 180 Call, says Gaurav Bissa

Gaurav Bissa, Derivatives Analyst at LKP Securities told CNBC-TV18, "Bharat Heavy Electricals (BHEL) has seen a good amount of correction. Overall it is in the downtrend even at these levels I would not be too confident of a positional trade but it certainly makes a case for a bounce back. If you look at the option chain 180 Put has one of the highest way concentration. The stock is just about hovering around these levels. Some amount of short covering is seen, fresh longs on minor amount are seen getting build in the stocks.""It might be pre-empting but I feel if Rs 180 is sustained good amount of short covering can be seen in 180-190 -200 strike Call option. It is very small towards expiry, so 200 might not see that much of effectively but if you look at the Call option chain Rs 180-190 has started witnessing buying. At the end of the day we must see good amount of short covering numbers coming in BHEL. So I recommend going long in 180 strike Call option for target of Rs 9 with stoploss of Rs 2.50," he added.