Gaurav Bissa of LKP Securities told CNBC-TV18, "Bank Nifty is trading near the spot levels of 18,500 which has decent amount of resistance and if you look at the vulnerable spots then I feel IndusInd Bank is one of those names. It witnessed some amount of short covering but failed to capitalise on that. Some of the longs that were created in the last couple of trading sessions have started witnessing some unwinding at Rs 850 odd level. It is seemingly having lot of pressure at those levels and 840 and 850 Call option are having decent amount of open interest concentration."
"If the stock trades below Rs 840 then it can have a swift downfall of about 2 or 3 percentage points. So based on the premise I recommend going long on 840 Put, the target would be Rs 22 and the stop loss on the Option would be Rs 8," he added.
Disclosure: Analyst has no personal holdings in the stock or strategies but it is possible that he may have recommended them to his clients at LKP.
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