RNRL has remained range-bound between 67-75 since 1-11 and I wish to take the benefit of that range-boundness by selling RNRL option.
Jan’10 Rs.90-00 Call was available at around Rs.1-10. If you see the chart there is largely unlikely that RNRL can reach to Rs.90-00 by Jan’ expiry. The annualised volatility of the stock is at 35%, where as Jan’ Rs.90-00 option has implied volatility around 70%!! PCR of Jan’10 options is also on bullish tone ata round 0.21
I have sold 90 call at 0.90. I could not sell at higher rate as Angel Odin did not allow me to trade reason being it was too early (10:10 am) and no liquidity was available 😦
I ordinary execute second leg of other side option at same time. However, again I was not able to execute RNRL 65 put @ 2.20. RNRL 65 PUT is bit risky but considering the support around 67, I am taking the chance with 65 PUT.