Trade Bear Spread in HPCL, Bull Spread in GAIL India: Krish Subramanyam

Krish Subramanyam of Altamount Capital told CNBC-TV18, "Couple of oil & gas stocks are normally more vulnerable in such geopolitical tension times. So a bear spread in Hindustan Petroleum Corporation (HPCL). In fact oil PSUs are seeing some sort of weakness going into expiry. So, I think bear spread in HPCL would be in order. One can could possibly buy 440 strike Put and sell a 420 strike Put. So, net cost comes to approximately Rs 6, keeping a target of Rs 12, and maybe stop loss of Rs 3."

"A bull spread in GAIL India. The stock has been one of those relative outperformers in this settlement so far. So, if things improve, odds are high that probably this will be the one which will sort of outperform again."

"So one could possibly buy a 400 strike Call and sell a 420 strike Call. So the net cost comes to about Rs 4. Keeping a target of Rs 10 maybe one could keep a stop loss of Rs 2," he added.